Former Trucking Company CFO Sentenced to Prison, Ordered to Pay $8 MILLION in Restitution
Austin, TX – The former Chief Financial Officer (CFO) of a defunct trucking company has been sentenced to nearly four years in prison and ordered to pay more than $8 million in restitution for a fraud and tax evasion scheme.
On Wednesday, the United States Attorney’s Office for the Western District of Texas announced the sentencing for 50-year-old Nicolette “Nicky” Osborne after she pleaded guilty in federal court on February 25, 2020, to one count of wire fraud and one count of making a false statement on an income tax return.
According to court documents, Osborne admitted that while employed at Bison Global Logistics of Pflugerville, TX between 2012 and 2017, she schemed to submit false and inflated receivables to financing companies.
Prosecutors said Osborne submitted fraudulent accounts receivables when she knew true accounts receivable amounts were substantially less than the amounts that she represented to the factoring companies.
Additionally, Osborne earned a “substantial income” at Bison and failed to report commissions from her fraud scheme as income.
U.S. District Judge Robert Pitman sentenced Osborne to 46 months in prison and also ordered her to pay $7,479,179.39 in restitution to ProBilling and Fund Service of Alabama, along with $596,425 in restitution to the IRS.
Judge Pitman also ordered that Osborne be placed on supervised release for a period of five years after completing her prison term.
The Federal Motor Carrier Safety Administration (FMCSA) revoked Bison’s operating authority in August 2017.
Bison subsequently filed for Chapter 11 bankruptcy protection the following month after its factor, People’s Bank of Alabama d/b/a ProBilling, uncovered the scheme concocted by Osborne.