Former Lafayette State Bank president and chief executive officer James Avery Roberts was sentenced on Feb. 23 in a U.S. Courthouse in Gainesville. Roberts was originally scheduled to be sentenced Jan. 27, but court documents show that due to a medical issue with Roberts, it was rescheduled.

He was sentenced to 36 months in prison and upon release will be supervised for five years, court document from the United States District Court for the Northern District of Florida show. He must also pay restitution of $734,412.24 to Lafayette State Bank.

He has until April 25 at noon to surrender to the United States Marshal in Gainesville. 

Roberts pleaded guilty Aug. 28 to fraudulently using more than $526,000 from the bank while he was the president and CEO for his own personal benefit, to satisfy financial obligations on his behalf or to conceal his misuse of other bank funds, court records from the United States District Court for the Northern District of Florida show.

In April 2014, the Federal Deposit Insurance Corporation (FDIC) conducted an examination of Lafayette State Bank in Mayo and  identified irregularities in loans that were made on behalf of Roberts’ family members, according to court records. FDIC contacted the Federal Bureau of Investigation (FBI), who then initiated a criminal investigation and determined Roberts had utilized his position at the bank to obtain nominee loans from Lafayette State Bank in the names of several of his family members.

Documents show that three loan applications were completed by Roberts or by others who were acting at his direction. The loans were then approved by Roberts.

The first loan for $300,000 was submitted on behalf of Roberts’ daughter on Jan. 30, 2013, and disbursed the same day. The loan was a renewal of a previously existing loan made on behalf of Roberts’ daughter and Roberts used the proceeds for his own personal benefit, reports state.

A second loan application for $75,000 was submitted on June 28, 2013, on behalf of Roberts’ son and was disbursed the same day. A third loan application for $150,000 on behalf of Roberts’ son was submitted on April 18, 2014 and disbursed on April 24, 2014, records show.

The total amount of the three loans was $526,053.85.

Lafayette State Bank has been serving surrounding counties since 1946. They have branches in Mayo, Branford, Live Oak and Bell. It is headquartered in Mayo.