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Former head of Va. investment firm faces charges

Monday - 11/5/2012, 4:54pm  ET

RICHMOND, Va. - The former head of the Craigie Inc. investment firm is due in federal court in Richmond later this month on mail fraud and money laundering charges.

The Richmond Times-Dispatch ( reports Allen Meade Ferguson is tentatively scheduled to enter into a plea agreement with federal prosecutors Nov. 14.

The 75-year-old Ferguson is accused of listing non-existent assets in order to obtain bank loans. Ferguson had been a longtime philanthropist in Richmond.

According to court papers, Ferguson is subject to forfeiture of $5.65 million in assets if convicted of the mail fraud count.

Ferguson's attorney, Brandon Santos, told the newspaper that Ferguson has cooperated with authorities and brought details of the alleged scheme to their attention. He declined further comment.

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