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77-year-old payday lender gets 14 years in prison for scheme

Written by The Associated Press | Jul 7, 2018 8:27 AM
CharlesHallinan_600X360.jpg

(AP Photo/Matt Rourke)

Charles Hallinan walks from the Federal Building in Philadelphia.

(Philadelphia) --  The head of a multimillion-dollar payday lending enterprise has been sentenced in Philadelphia to 14 years in federal prison for evading state regulations by using Native American tribes and a bank as fronts.

Charles Hallinan was also ordered Friday to pay a $2.5 million fine for the scheme to collect hundreds of millions of dollars in unlawful debt from high-interest loans.

Prosecutors say the 77-year-old Hallinan charged astronomical interest rates of more than 700 percent on the short-term loans.

Authorities say the scheme netted Hallinan's companies more than $690 million in revenue between 1997 and 2013.

Hallinan was also ordered to pay a forfeiture money judgment about $64 million. He also must forfeit his interest in $1.2 million in funds in 18 bank accounts; two Mercedes-Benz vehicles; one Bentley vehicle; and his Villanova mansion.

A message seeking comment from his attorney wasn't immediately returned Friday.

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