Man With 700 Credit Cards Gets 12 Yrs for Fraud
William Kinnaird Jr. had a credit card for every occasion.
During the past decade, the Crestwood, Ky., man used money drawn from more than 700 cards to buy his house, make his car payments and put food on his table. The problem: None of the cards were really his.
A federal judge in Cincinnati sentenced Kinnaird to almost 12 years in prison Friday after concluding he used the cards for a decade as part of an elaborate scheme to defraud banks of about $1.8 million. Federal prosecutors say Kinnaird opened the credit card accounts with more than 160 names of people who were either dead or did not exist. They say he then used the cards to withdraw cash from ATMs or to cash checks written against the credit cards. He also set up a fake business and fraudulently charged $820,000 to the credit cards. To keep track of it all, prosecutors say, Kinnaird monitored every active card on his computer and used spreadsheets and files to keep tabs on balances, payment due dates and available credit. He typically paid enough to keep the cards active but spent far more than he paid, prosecutors say.
“His job was to maintain this credit card scheme,” said Fred Alverson, spokesman for U.S. Attorney Gregory Lockhart. “He kept very detailed records.”
Kinnaird, 44, pleaded guilty to mail fraud and credit card fraud in June and was sentenced Friday by U.S. District Judge Sandra Beckwith. His attorney, C. Ransom Hudson, had asked for a lighter sentence, arguing that the $1.8 million loss included late fees, penalties and interest. The actual loss was closer to $1 million, Hudson said. The judge also ordered Kinnaird to repay the $1.8 million, but Hudson said his client already has sold his house and other property to cover some of the loss. He said Kinnaird has no other money.
Cincinnati Enquirer