The Pittsburgh Post-Gazette reported that former Le-Nature’s CEO Gregory J. Podlucky was sentenced to 20 years in prison for financial fraud that a judge said bilked investors and lenders out of more than $6.8 million.

The article quotes U.S. District Judge Alan N. Bloch as saying, “The fraud in this case was enormous.”

Three of Podlucky’s business associates pleaded guilty to fraud charges and await sentencing, a fourth was found guilty at trial and his wife and son face money laundering charges, the report said.

As previously posted on monitordaily, the Le-Nature’s scheme siphoned hundreds of millions of dollars from several financial institutions and it completed, with Wachovia Bank as lead lender, a financing package including a $20 million revolving credit agreement and a $265 million term loan. Recently, Wells Fargo’s Wachovia Capital Markets unit and BDO Seidman settled lawsuits over their roles in the collapse of Le-Nature’s for $130 million.

To read the full Post-Gazette article click here.

Previously on monitordailyWells Fargo, BDO Seidman Settle Le-Nature’s Suits for $130 Million, published October 12, 2011