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May 6, 11

NEWS / Lancaster Attorney Indicted on Bankruptcy Fraud Charges

Kenneth G. Reidenbach was charged today by superseding indictment with bankruptcy fraud, concealing assets during a bankruptcy proceeding, and embezzling from a bankruptcy estate, announced United States Attorney Zane David Memeger. According to the superseding indictment, Reidenbach, an attorney in Lancaster, represented an individual in a bankruptcy proceeding. Reidenbach counseled the client to place nearly $40,000 in real estate proceeds into a law firm account controlled by Reidenbach and then concealed those proceeds from the bankruptcy court. The indictment also alleges that Reidenbach falsely represented that he had agreed to receive only $1,500 for representing the client in the bankruptcy proceeding. The original indictment, filed December 9, 2010, charged Reidenbach and co-defendant Herbert P. Henderson, another attorney in Lancaster, with conspiracy to commit bankruptcy fraud and concealing assets in bankruptcy by concealing more than $51,000 of clientsí real estate sales proceeds from the bankruptcy court.

Information Regarding the Defendant
Name: Kenneth G. Reidenbach
Address: Lancaster, Pennsylvania
Age or Year of Birth: 1950

If convicted of the charges in the superseding indictment, Reidenbach faces a maximum possible sentence of 40 years in prison and a fine of $2,000,000.

The case was investigated by the Federal Bureau of Investigation and is being prosecuted by Assistant United States Attorney David J. Ignall.

An indictment or information is an accusation. A defendant is presumed innocent unless and until proven guilty.




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