Businessman pleads guilty to one charge in fraud case involving African agency

SAVANNAH - A Georgia businessman accused of defrauding the development agency of the African kingdom of Swaziland pleaded guilty to conspiring to defraud two American banks. <br> <br> Acting U.S. Attorney Edmund Booth Jr. on Wednesday said Erwin David Rabhan of Swainsboro pleaded guilty in federal court to a single count of conspiracy to defraud Enterprise National Bank of Palm Beach, Fla., and AmTrade International Bank of Atlanta. <br> <br> Rabhan pleaded guilty to making false statements for a $5 million loan from Enterprise to build a catfish processing plant in Wrightsville, Ga., according to the U.S. attorney&#39;s office. <br> <br> Seventy-five percent of that loan was guaranteed by the U.S. Agriculture Department through the Rural Development Administration&#39;s Business and Industry Guaranteed Loan Program. <br> <br> Rabhan&#39;s plea also involved two letters of credit from AmTrade International Bank. <br> <br> Rabhan was indicted in March on 22 counts, including conspiracy, bank fraud and wire fraud. He was accused of telling the Swazi agency Tibiyo Taka Ngwane that he had invested millions in a fictional equipment manufacturer, Polk Manley Machinery Inc. TTN could enter joint ventures by matching his investment, according to the indictment. <br> <br> After TTN invested its share, Rabhan used false statements and forged documents to draw on the funds, which were used for personal expenses, with a minimal amount going for used equipment ostensibly purchased from Polk Manley, the indictment alleged. <br> <br> The conspiracy generated over $13 million, the U.S. attorney said. <br> <br> Another man accused of being a co-conspirator, Lee N. Jones, had pleaded guilty earlier to a single count of conspiracy arising from the same activities. U.S. District Judge B. Avant Edenfield on Wednesday sentenced him to almost three years in prison.