Home / Crime and Justice / Texas attorney jailed for $8M loan scam
Texas attorney jailed for $8M loan scam
2 Aug
Summary
- Former attorney sentenced to 108 months for defrauding small businesses.
- Engle promised loans but spent client deposits on luxury items.
- Victims lost over $2 million, received fraudulent bank statements.
A former Southlake, Texas attorney, William Thomas Engle, was sentenced to 108 months in federal prison on July 30, 2026, for defrauding small business owners. He also received an order to pay over $8.2 million in restitution and forfeit luxury items.
Engle operated from 2020 to 2022, promising to help clients secure large commercial loans. He required upfront deposits into "Good Faith Accounts," assuring clients the money was secure and refundable. Evidence showed he provided fraudulent bank statements to mask that he had transferred the funds to personal accounts.
Prosecutors stated Engle spent the defrauded money on a yacht, vehicles, and jewelry. Several victims testified about losing more than $2 million during his trial, after which Engle pleaded guilty to wire fraud. The Justice Department highlighted luxury purchases made with the stolen proceeds.
Experts advise business owners to verify account details directly with financial institutions before transferring large commercial loan deposits. The Federal Trade Commission notes that advance-fee loan scams often involve promises of financing in exchange for upfront payments.
