Rigby man sentenced for bankruptcy fraud

Kim Thompson, 49, of Rigby was sentenced to three years of probation Tuesday, including six months of home confinement, for bankruptcy fraud.

Chief U.S. District Judge B. Lynn Winmill also ordered Thompson to pay a $3,000 fine.

U.S. Attorney Wendy Olson said Thompson pleaded guilty on February 10 as part of a plea agreement.

According to that agreement, Thompson filed bankruptcy in the United States Bankruptcy Court on October 14, 2010. As part of that proceeding, Thompson testified under oath at a meeting of creditors that he had no aircraft or accessories.

Thompson later admitted that he had purchased a Piper Arrow airplane in 2009 and that he had never transferred the registration or ownership documents into his name in order to conceal ownership from the bankruptcy trustee.

Thompson stated he hoped to use the plan in a business after completion of the bankruptcy. He said he was afraid he would lose the plane if he disclosed it to the trustee.