Michael Ross Smith, 44, of Brentwood, Tenn., pleaded guilty today to making a false material statement under oath in a bankruptcy case, announced David Rivera, U.S. Attorney for the Middle District of Tennessee.

During the plea hearing, Smith acknowledged that he filed for bankruptcy and then committed bankruptcy fraud by providing false testimony, under oath, during an examination conducted by the U.S. Trustee. Smith falsely testified that he was no longer employed by a Nashville business at the time of the examination. Subsequently, the United States Trustee discovered that Smith continued to be employed by the business as the President of Sales, earning an annual base salary of $150,000.

Bankruptcy fraud carries a maximum penalty of five years in prison and a $250,000 fine. Smith will be sentenced on August 5, 2015.

The U.S. Trustee Program is the component of the Department of Justice that protects the integrity of the bankruptcy system by overseeing case administration and litigation to enforce the Bankruptcy Code.

This investigation was conducted by the FBI with assistance from the U.S. Trustee. The government is represented by Assistant U.S. Attorney Stephanie N. Toussaint and Special Asst. U.S. Attorney Lloyd E. Mueller.