Former Lexington business owner sentenced to prison for fraud
LEXINGTON, Ky. (WTVQ) – A federal judge sentenced a former Lexington business owner to prison for fraud Tuesday.
64-year-old Barry E. Sanders, the former CEO of Trailblazers, Inc., an auto and truck parts supply business located in Lexington, was sentenced to 18 months in prison for bankruptcy fraud.
Sanders had previously admitted in U.S. District Court, while Trailblazers, Inc. was in the process of contemplating bankruptcy in the summer of 2013, he transferred $315,000 from the business to his personal banking accounts.
Sanders then knowingly hid the receipt of those funds by failing to report the cash transfers on corporate bankruptcy filings in August 2013, as required by federal bankruptcy law.