Hathaway admits she committed bank fraud in federal court - FOX13 News, WHBQ FOX 13

Hathaway admits she committed bank fraud in federal court

Posted: Updated:
(Credit: WJBK|myFOXDetroit.com) Diane Hathaway outside court in Ann Arbor (Credit: WJBK|myFOXDetroit.com) Diane Hathaway outside court in Ann Arbor

By Charlie Langton
Fox 2 News


DETROIT (WJBK) -- Former Michigan Supreme Court Justice Diane Hathaway entered the federal courthouse innocently enough, but left a convicted felon.  She took a plea to bank fraud.

Here's the deal.  She will spend up to 18 months in a federal prison.  She will pay up to $90,000 in restitution, and she will pay a fine of approximately $30,000.  After that, she'll spend three to five years on supervised probation, and all the other charges against her will be dismissed.

"This is a crime that spanned almost two years, and so for a very serious, well thought out crime like that, I think it's important that the public see that people at the highest levels of government are held accountable," said U.S. Attorney Barbara McQuade.

Hathaway stated in open court that she devised a scheme to defraud the ING Bank and wrote a phoney hardship letter, hiding her true assets and manipulating property sales in order to get rid of a $600,000 debt on her Grosse Pointe Park home.

"It's important for people to know that now we're down to the actual loss as calculated by ING Bank, which, of course, is who we ought to listen to," said attorney Steve Fishman.  "They're saying it's between $40,000 and $90,000.  They haven't said anything more than that, and Judge O'Meara will decide."

"In this case an individual in a prominent position of public trust made extremely poor choices that have resulted in criminal activity," said FBI Special Agent Robert Foley.

Sentencing will be May 28.

  • Charlie LangtonCharlie LangtonMore>>

  • Rally held to stop the violence in Inkster following shooting

    Rally held to stop the violence in Inkster following shooting

    Monday, July 7 2014 12:58 AM EDT2014-07-07 04:58:10 GMT
    They rallied to stop the violence in Inkster Sunday after a triple shooting that claimed a two year old girl's life. Her father and a 12-year-old girl are still recovering from gunshot wounds and two suspects are in custody.
    They rallied to stop the violence in Inkster Sunday after a triple shooting that claimed a two year old girl's life. Her father and a 12-year-old girl are still recovering from gunshot wounds and two suspects are in custody.
  • Teenager injured by hit and run driver

    Teenager injured by hit and run driver

    Monday, July 7 2014 12:13 AM EDT2014-07-07 04:13:59 GMT
    A hit and run driver sends a teenager to the hospital. The boy has serious injuries and the driver is still out there.
    A hit and run driver sends a teenager to the hospital. The boy has serious injuries and the driver is still out there.
  • Man set free amid serial bank robbery charges

    Man set free amid serial bank robbery charges

    Wednesday, July 2 2014 9:11 PM EDT2014-07-03 01:11:05 GMT
    CENTER LINE, Mich. (WJBK)-- Glynn Jones, Jr. was let go from jailtoday as judge determined he was not responsible forfive bank robberies across metro Detroit.Jones looked similar to a man who was caught on surveillance video robbing a PNC Bank in Center Line and whom police believed robbed several other banks in the area. Despite passing a polygraph test, Jones spent 10 days in jail before being released today."No evidence, no evidence of money, no evidence of clothing, no fingerprints, nothi...
    CENTER LINE, Mich. (WJBK)-- Glynn Jones, Jr. was let go from jailtoday as judge determined he was not responsible forfive bank robberies across metro Detroit.Jones looked similar to a man who was caught on surveillance video robbing a PNC Bank in Center Line and whom police believed robbed several other banks in the area. Despite passing a polygraph test, Jones spent 10 days in jail before being released today."No evidence, no evidence of money, no evidence of clothing, no fingerprints, nothi...
  • Local NewsLocal NewsMore>>

  • 24-year-old women is $66 million jackpot winner

    24-year-old women is $66 million jackpot winner

    Thursday, July 31 2014 11:26 AM EDT2014-07-31 15:26:09 GMT
    The Michigan Lottery says a Port Huron woman is the winner of a $66 million Mega Millions jackpot that was drawn in mid-June.Kelsey Zachow says in a statement that she "could barely breathe" when she learned she was the winner.
    The Michigan Lottery says a Port Huron woman is the winner of a $66 million Mega Millions jackpot that was drawn in mid-June.Kelsey Zachow says in a statement that she "could barely breathe" when she learned she was the winner.
  • Winner of $66 Million Mega Millions Jackpot to be Announced

    Winner of $66 Million Mega Millions Jackpot to be Announced

    Thursday, July 31 2014 10:31 AM EDT2014-07-31 14:31:30 GMT
    Michigan Lottery news conference to announce the winner of the $66 million Mega Millions jackpot from Friday, June 13, 2014.
    Michigan Lottery news conference to announce the winner of the $66 million Mega Millions jackpot from Friday, June 13, 2014.
  • City of Detroit posts improvement updates online

    City of Detroit posts improvement updates online

    Thursday, July 31 2014 7:18 AM EDT2014-07-31 11:18:29 GMT
    Residents will be able to view the number of new streetlights installed in their Detroit neighborhood, how many lots were mown and the number of vacant houses demolished by going to the city's website.
    Residents will be able to view the number of new streetlights installed in their Detroit neighborhood, how many lots were mown and the number of vacant houses demolished by going to the city's website.
Powered by WorldNow

WHBQ-TV | Fox 13
485 S. Highland St.
Memphis, TN 38111

Main Station: (901) 320-1313
Newsroom: (901) 320-1340

Didn't find what you were looking for?
All content © Copyright 2000 - 2014 Fox Television Stations, Inc. and Worldnow. All Rights Reserved.
Privacy Policy | Terms of Service | Ad Choices