A Castro County cattle raiser entered a guilty plea to a federal charge for defrauding an agriculture lender of $3.7 million.
Court documents show Kirt Espenson, doing business as E6 Cattle Company, didn’t pay AgTexas Production Credit Association when he sold calves he had pledged as collateral for loans.
Espenson admitted to concealing, removing, disposing of or converting to his own use the cattle that were mortgaged or pledged to AgTexas, according to court documents.
E6 entered into five loan agreements with AgTexas totaling over $8.4 million.
The Court papers also show one loan was for equipment, three loans for real estate/refinancing and one loan was a $4 million revolving line of credit for “general operating expenses”
Story by: Chuck Williams