Erpenbeck, Home Builder Convicted in Bank Fraud Scheme, to Be Released from Prison
A. William "Bill" Erpenbeck is scheduled to be released from federal prison in early 2021.
The River City News has learned that Erpenbeck will be transferred from FPC Pensacola in Florida on February 23, 2021.
In 2004, Erpenbeck was sentenced to 30 years in federal prison and ordered to pay more than $26 million in restitution after pleading guilty to his role in a bank fraud scheme.
That scheme led to the end of his namesake home-building company and Peoples Bank. It left hundreds of Northern Kentucky home-buyers without clear titles to their homes, a 2004 Business Courier article reported.
Erpenbeck pleaded guilty in federal court to bank fraud and witness tampering.
The scheme was featured in a 2012 episode of the CNBC series American Greed which described the case as, "The Erpenbeck Company sold hundreds of homes and collected millions of dollars. But unknown to its clients, Bill Erpenbeck was depositing homebuyer checks into the company bank account, checks that were intended to pay off the banks that lent him the money for construction. Bill Erpenbeck was running a shell game."
Other members of the Erpenbeck family and associated businesses were also convicted on charges related to the scheme.
Bill Erpenbeck was originally scheduled to be released from prison in November of 2025.
A letter from the U.S. Department of Justice to a local law firm, obtained by The River City News, notes that Erpenbeck has been approved for placement in a community corrections center, or halfway house at Salvation Army in Ft. Myers, Florida.
He is to remain there until the completion of his sentenced in 2025. Erpenbeck is not eligible for parole.
Upon release from the halfway house in 2025, Erpenbeck will be on supervised federal probation, the letter notes, and will have to live in Ft. Myers.
-Michael Monks, editor & publisher
Photo: FPC Pensacola (via the U.S. Department of Justice)