Paso Robles lender facing five years in jail
November 10, 2012
Former Paso Robles lender Linda Ann Kennedy of 21st Century Financial in Paso Robles plead no contest on Tuesday to four felony counts related to fraudulent lending practices.
Kennedy, 49, allegedly swindled more than 1,000 investors out of millions in a lending scheme involving hard money. In August 2007, when she closed the firm, the company held a $100 million real estate portfolio. Even so, the San Luis Obispo County District Attorney’s Office charged her with having caused a loss of $1.3 million to numerous investors.
On Dec. 4, Superior Court Judge Barry T. LaBarbera will hand down sentencing which he indicated will likely be a five-year stint in the San Luis Obispo County Jail. He said he will require Kennedy to pay full restitution to all victims in the case.
In 2009, Kennedy fled for Costa Rico where she stayed for two years before returning to the United States.
Following an extensive four-year investigation by the California Department of Corporations and the San Luis Obispo County District Attorney’s office, Kennedy was arrested on July 16 in Tennessee. She was later extradited back to California and booked into the San Luis Obispo County Jail with no bail.
Kennedy has remained in jail with her personal assets frozen, including real estate, bank accounts, all other financial accounts, vehicles and any and all other things of value, whether the assets have been specifically listed or identified or not.