A businessman from Yellowknife has admitted to deceiving the Business Development Bank of Canada (BDBC).
As per legal documents, Liang Chen, who is 45 years old, admitted guilt during a court hearing on April 22.
He is charged with swindling over $5,000 from both the bank and Chinese entrepreneur Shengteng Wang. The defendant did not enter a plea for the allegation involving Wang.
The RCMP claim that Chen assisted Wang in establishing a company in Yellowknife. Subsequently, they assert that he applied for and obtained a $250,000 loan from BDBC related to the firm without informing Wang. In October, following the closure of their enterprise, Northern Sky Films, Chen faced charges of two instances of fraud exceeding $5,000.
In an independent civil case, Wang was awarded a judgment of $156,961 against Chen. Court documents indicate that Wang still hasn’t received any portion of this amount.
A different Chinese client named Chen had another individual sue him successfully for $213,583. Additionally, TD Bank along with two contractors Chen employed received rulings amounting to slightly above $100,000.
Chen is set to receive sentencing for fraud on July 25.
