CINCINNATI,OH (FOX19) – A federal grand jury has returned a superseding indictment charging Bernard J. Kurlemann, 56, of Mason with committing bankruptcy fraud by hiding assets when he filed bankruptcy on behalf of his company, luxury home builder Kurlemann Builders, Inc. ("KBI"), in March 2008.
The indictment, which was returned Wednesday, charges Kurlemann with one count of bankruptcy fraud, one count of concealment of assets, and one count of false oaths. The indictment adds the new charges to an indictment returned against him in January 2010 in which he was charged with conspiracy to commit loan fraud and loan fraud. All charges contained in the original indictment against Kurlemann and the other defendants remain in place.
The indictment alleges that Kurlemann engaged in a scheme to defraud the creditors of KBI and the bankruptcy trustee in the bankruptcy case he filed for KBI. This scheme to defraud involved the transfer of a parcel of real estate Kurlemann owned on behalf of KBI to a third party on or about August 16, 2007, in exchange for funds in the amount of approximately $220,000 plus an undisclosed and concealed option to purchase or repurchase this property within a one-year period.
Each count is punishable by up to five years imprisonment, and a fine of up to $250,000, or twice the gross gain or loss from the offense.