Prominent Delaware developer gets 21-month prison sentence for fraud

Joseph L. Capano admitted to using loan proceeds meant for the Riverbend development in New Castle for personal purchases. (image via GoogleMaps)

Joseph L. Capano admitted to using loan proceeds meant for the Riverbend development in New Castle for personal purchases. (image via GoogleMaps)

Seventy-five-year-old Joseph Capano was sentenced on Wednesday in U.S. District Court. He pleaded guilty in March to bank fraud and a violation of the Clean Water Act.

 

Capano admitted using loan proceeds intended for a housing development in New Castle for personal purchases. He also admitted knowingly filling wetlands without a permit.

His actions led the Riverbend development in New Castle to be foreclosed upon. Capano had promised hundreds of high-end homes in the community, but now it’s nearly empty.

Capano’s attorney, Eugene Maurer, tells The News Journal of Wilmington that he’s grateful the judge gave his client a shorter sentence than federal guidelines called for, citing Capano’s poor health.

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