(Columbus) Businessmen and former Columbus Mayor Mike Eisenga will spend three-and-a-half years in prison on federal bank fraud charges. Eisenga was sentenced Wednesday after pleading guilty in March.
The 49-year-old had applied for a $6.9-million-dollar loan from an Illinois credit union to purchase a commercial property in Columbus. Eisenga claimed the property was under a 20-year lease to Festival Foods and guaranteed by Supervalue Holdings but neither the holdings company nor the related documentation are said to be legitimate.
The Alliant Credit Union of Rolling Meadows, Illinois approved the loan in February of 2017 and Eisenga’s company reportedly defaulted two years later. In July of 2019, a judgement was entered in a civil lawsuit seeking foreclosure and the property sold for $2.2-mllion dollars in a sheriff’s sale three months later. The credit union awarded a judgement in excess of $5-million dollars. Eisenga’s company filed for bankruptcy in February of last year but a judge dismissed the case last summer.
He was also ordered to pay over $4-million dollars in restitution. Eisenga is to report to prison at the end of next month.