Atlanta businessman charged in alleged $24 million bank fraud scheme
An Atlanta businessman and former owner of a Cartersville manufacturing company is facing federal bank and wire fraud charges after prosecutors say he obtained $24 million in loans using falsified financial records and forged documents.
Thomas Mwangi, 48, was arraigned Aug. 10 after a federal grand jury indicted him on two counts of bank fraud and 13 counts of wire fraud, according to the U.S. Attorney's Office for the Northern District of Georgia.
Mwangi previously owned and operated CAMaster, a manufacturing company based in Cartersville.
Federal prosecutors allege Mwangi defrauded First Financial Bank while seeking financing in 2023 to purchase two companies in Texas.
According to prosecutors, Mwangi falsely pledged millions of dollars as collateral and, on one occasion, altered a brokerage statement to make it appear that he had $22 million in his account when he actually had less than $1 million.
Investigators also allege Mwangi provided the bank with a forged document that purported to show a brokerage firm acknowledging the bank's security interest in his account.
Based on those representations, First Financial loaned Mwangi $24 million in 2023, prosecutors said.
After receiving the loans, Mwangi allegedly sent the bank fake financial statements on at least 23 occasions in an effort to convince bank officials that he still had enough collateral to secure the loans.
Prosecutors said Mwangi defaulted on the loan payments last summer.
"Mwangi allegedly conned a bank out of approximately $24 million by forging signatures and fabricating account statements," U.S. Attorney Theodore S. Hertzberg said in a statement.
Marlo Graham, special agent in charge of the FBI's Atlanta field office, said the bureau would continue investigating allegations of fraud against U.S. businesses.
The FBI is investigating the case. Assistant U.S. Attorney Dwayne A. Brown Jr. is prosecuting it.
Mwangi has not been convicted. An indictment contains only allegations, and he is presumed innocent unless proven guilty beyond a reasonable doubt.
