Home Boston Press Releases 2011 Baileyville Man Convicted of Bankruptcy Fraud

Baileyville Man Convicted of Bankruptcy Fraud

U.S. Attorney’s Office December 07, 2011
  • District of Maine (207) 780-3257

BANGOR, ME—United States Attorney Thomas E. Delahanty II announced that George F. Rayner, age 69, of Baileyville, Maine was found guilty today by a jury of bankruptcy fraud. Rayner was indicted on May 26, 2011.

According to evidence introduced at trial, Rayner and his wife filed for bankruptcy reorganization in May 2006. In his bankruptcy filings and testimony, he concealed from the Office of the United States Trustee and his creditors a savings bank account at The First NA, formerly known as the First National Bank of Bar Harbor, a Section 457 deferred compensation retirement account, then worth about $150,000, from his employment as a police officer for Baileyville, and his entitlement to reimbursement for accrued, but unused, sick leave and vacation time benefits. He also failed to report a $97,299.12 lump-sum distribution from his retirement account and the payment by Baileyville of $12,063.72 for his unused benefits in monthly operating reports that he was required to file with the Office of the United States Trustee.

Rayner faces a possible sentence of up to five years’ imprisonment and a $250,000 fine. He will be sentenced after completion of a pre-sentence investigation report by the United States Probation Office. He was released on bail pending sentence.

The investigation leading to today’s verdict was conducted by the Federal Bureau of Investigation and the Internal Revenue Service, Criminal Investigation Division, with assistance from the Office of the United States Trustee.

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