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Developer Pleads Guilty to Bank Fraud

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DES MOINES, Iowa (AP) A Des Moines area developer has pleaded guilty to bank fraud in a plea deal that includes more than two years of prison.

The Des Moines Register reports John Kline pleaded guilty Friday to two counts of bank fraud. A judge must still accept the deal, and a sentencing hearing is set for April.

Kline and Randy Walters are former partners in Oaks Development Co. They were indicted in 2011 on nine counts of bank and wire fraud. The charges stem from loans obtained for two development projects.

The indictment says the scheme cost 13 banks a total of $2.9 million from November 2004 through January 2007.

Walters pleaded guilty in September to a single charge. He is scheduled to be sentenced next month.

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