An confederate to convicted assassin Alex Murdaugh’s monetary misdeeds will get seven years in jail

The person who as soon as headed a extremely revered financial institution within the South Carolina Lowcountry will spend seven years in federal jail for serving to convicted assassin Alex Murdaugh steal almost $2 million from purchasers’ authorized settlements.

Russell Laffitte was sentenced Tuesday after a jury discovered him responsible of six costs associated to wire and financial institution fraud again in November. The ex-CEO of Palmetto State Financial institution turned the primary of the disgraced former legal professional’s accomplices to face jail time following the June 2021 capturing deaths that stemmed from sprawling investigations into the Murdaugh household funds.

The prosecution and protection additionally agreed that Laffitte will forfeit greater than $85,000, native media reported. The previous banker has stated he’ll enchantment the choice.

Murdaugh is serving life with out parole for killing his spouse, Maggie, and their son, Paul, on the kennels on their 1,700-acre rural property. Nonetheless excellent are greater than 100 different costs encompassing alleged monetary crimes from insurance coverage fraud to tax evasion. His trial this winter marked the swift fall from grace for a robust household whose members served over 80 years straight because the elected prosecutors in tiny Hampton County.

Laffitte equally got here from a outstanding household that had constructed an upstanding fame for Palmetto State Financial institution. The Impartial Banks of South Carolina even honored Laffitte because the banker of the yr in 2019.

However that good standing tanked over his actions because the court-appointed safeguard for settlement cash that Murdaugh received for a few of his most susceptible purchasers. Prosecutors argued he used the function to ornately pocket tens of hundreds of {dollars} and acquire as a lot as $450,000 in untaxable charges. The place additionally allowed him to ship giant chunks towards Murdaugh — who had grown determined to repay mounting loans as an opioid habit additional depleted his accounts.

Laffitte acknowledged by title every sufferer sitting within the Charleston federal courthouse on Tuesday, native media reported. He apologized for not fulfilling his duties to them. He apologized to the decide for erring in his judgment. And he apologized to Palmetto State Financial institution clients for failing them.

Nonetheless, Laffitte continued to take care of his innocence. He has insisted for months as a substitute that he didn’t know he was committing crimes and was manipulated by a significant buyer.

The protection sought a decreased sentence of three to 5 years imprisonment. Family members, buddies and enterprise acquaintances vouched for his character in letters submitted to courtroom. His attorneys pointed to his skilled break and lack of prior legal file as proof {that a} stiff penalty shouldn’t be mandatory to discourage future crimes.

“As well as, the title ‘Russell Laffitte’ is now recognized all through South Carolina and past, and never in a great way — Russell might be forevermore tied to Mr. Murdaugh and recognized infamously as ‘the Murdaugh banker,” they wrote in a July 28 memo.

Prosecutors requested U.S. District Choose Richard Gergel to place Laffitte behind bars for at the very least 9 years. Rebuffing the claims of ignorance, they famous that the diverted checks had been made payable to Palmetto State Financial institution and never Laffitte because the overseer of the funds. The subtle transfer, they argued, deliberately hid the ultimate vacation spot.

A lengthier jail keep can be essential to atone for the broken public belief in banking, prosecutors wrote in a July 27 memo.

“The Authorities doesn’t dispute that Murdaugh is the extra culpable actor within the legal conspiracy, or that Murdaugh benefited extra from the scheme,” the prosecution wrote. “However the Defendant was the one one that might have stopped him. As an alternative, the Defendant enabled him. Repeatedly.”

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James Pollard is a corps member for the Related Press/Report for America Statehouse Information Initiative. Report for America is a nonprofit nationwide service program that locations journalists in native newsrooms to report on undercovered points.