A man was sentenced to probation for his role in bank fraud to buy houses for illegal marijuana grows.
Yongliang Deng, 36, of New York was sentenced to five years of probation on Monday in U.S. District Court of Maine in Bangor. He spent one day in jail and was also sentenced to time served.
Deng pleaded guilty Jan. 21 to conspiracy to commit bank fraud.
Deng took out a $171,200 mortgage from Kennebec Savings Bank for an Eddington house in January 2021. He never lived there, unlike he told the bank. Instead, Deng rented it out to be used as an illegal marijuana grow house.
He must continue to pay the mortgage to the bank as restitution, Judge John Woodcock said. If Deng sells the house, he must repay the bank the remaining mortgage.
One count each of bank fraud and false statements to federal law enforcement agents were dismissed as part of a plea agreement.
Federal law enforcement has cracked down on illegal marijuana grow facilities across Maine in the last three years. Deng is one of a few people to face criminal charges for a role connected to the alleged grow houses.
Deng was not involved in the marijuana business and the sentence reflects that, Woodcock said.
“I truly regret what I have done,” Deng said. “Today, taking responsibility for what I did is the greatest relief I have ever felt. I swear to God after this lesson I will be a straight arrow.”
Deng was days away from reporting for his first day of U.S. Military service when he was arrested.
“It seems to me you’ve learned a hard lesson,” Woodcock said.
The Eddington house is valued at just under $307,000, according to the most recent tax assessment. Woodcock was concerned that Deng would profit from crime if he was able to sell the house for significantly more than the mortgage is worth.
It’s doubtful the house will sell for nearly that much if Deng does sell, his attorney James Nixon said.
“You have a property which is a sore within that community and you’re responsible for that,” Woodcock said.
Another man, Yuantong “Tony” Liang, of Brooklyn, has pleaded guilty for orchestrating a conspiracy to obtain residential mortgage loans from two Maine banks for properties in Bucksport, Eddington and Canaan.
Sentencing for Liang is not yet scheduled.