A Texas man was sentenced to 12 months and one day in prison after laundering money from a company he co-owned based in Richmond, according to federal authorities.
Neil Divers, 66, pleaded guilty July 17 to one count of bank fraud and one count of money laundering, according to a news release from U.S. Attorney Ismail J. Ramsey. He lives in Godley, Texas, but previously lived in Chico.
Divers will also have to pay restitution, with the amount to be determined at a hearing on January 7. After his prison sentence, which begins Jan. 10, Divers will serve three years of supervised release, authorities said.
In 2015, Divers owned and operated a machined components manufacturing company called Kodiak Precision, Inc., based in Richmond, authorities said. In 2016, the company’s other owners implemented procedures to prevent Divers from taking company money without the consent of at least one other owner due to prior events.
From about July 2016 to May 2018, Divers circumvented these safeguards by opening bank accounts in Kodiak’s name but as the sole signatory, authorities said. The other owners were not aware of these accounts and did not consent to them. Divers then had another employee instruct some customers to deposit money into these accounts.
Divers then used some of this money to fund his lifestyle, such as using $38,217.84 to pay for landscaping services for his home in August 2019.
The sentence was imposed by U.S. District Judge Jon S. Tigar.