A Carrollton, Mo., woman was sentenced in federal court for a bank fraud scheme in which she used her neighbor’s house to obtain a loan for her failed business venture.
Carol Joyce Noble, 65, of Carrollton, was sentenced by U.S. District Judge Stephen R. Bough to two years and six months in federal prison without parole. The court also ordered Noble to pay $267,924 in restitution.
On March 28, 2017, Noble was found guilty at trial of two counts of bank fraud. Evidence introduced during the trial indicated that Noble defrauded Central Trust Bank in Jefferson City, Mo., in September 2011 as part of a scheme to obtain a fraudulent $185,000 loan in order to purchase a convenience store in Stover, Mo.
As part of the scheme, Noble caused the fraudulent appraisal of her Gravois Mills, Mo., residential property in order to obtain the loan. Noble changed the physical address of the residence to an adjacent residence by altering the last digit of the house number, unbeknownst to the neighbor. Noble met the appraiser at her neighbor’s home and misrepresented to the appraiser that it was her own. The appraiser then appraised the wrong home at a value $100,000 higher than the true value of Noble’s property. Noble was found guilty of two counts of bank fraud related to the fraudulent appraisal.
According to court documents, the loan closed and the money was issued, but the business quickly failed. During the foreclosure process, it was determined that the property appraised was not Noble’s actual house, but rather, the residence next to hers. The bank ultimately sold Noble’s actual residence for only $15,000. The bank, Noble’s business partners (who continued to pay the deficiency on the loan after its default) and even the appraisal company and its insurance company lost substantial amounts of money as a result of this fraud.
This case was prosecuted by Assistant U.S. Attorney Lauren E. Kummerer. It was investigated by the FBI.