PROVIDENCE, RI – Former Rhode Island state senator and businessman James E. Doyle, II, 47, of Pawtucket, was sentenced today to 24 months in federal prison for engaging in a $74 million dollar check-kiting scheme in which he wrote tens of thousands of worthless checks, and failed to report more than $1 million dollars in income and pay taxes to the IRS, announced by United States Attorney Aaron L. Weisman, Special Agent in Charge of Internal Revenue Service Criminal Investigation Kristina O'Connell, and Special Agent in Charge of the FBI Boston Division Joseph R. Bonavolonta.

Doyle pleaded guilty on September 28, 2018, to thirty-one counts of bank fraud and one count each of filing a false tax return and failing to file a tax return. At the time of his guilty plea Doyle admitted that as owner of Doyle Respiratory, LLC and Doyle Sleep Solutions, LLC, he engaged in criminal conduct during which $74 million dollars in worthless bank transactions were executed in check-kiting schemes through bank accounts he controlled at three banks. Doyle admitted that he executed the schemes through the use of checks, cash withdrawals, ATM electronic transfers and ACH transfer payments.

Doyle also admitted that for tax years 2013 thru 2016 he and his wife failed to report to the IRS more than $1 million dollars in income and failed to pay $305,426 in taxes due the IRS.

At sentencing, U.S. District Court Chief Judge William E. Smith sentenced Doyle to 3 years supervised release upon completion of his term of incarceration and ordered Doyle to pay restitution totaling $426,707.25 to Santander Bank and Alliance Blackstone Valley Federal Credit Union.

United States Attorney Aaron L. Weisman commented, “As so well articulated by Chief Judge Smith, an incarcerative sentence of 24 months is most appropriate considering the damage Mr. Doyle’s actions, in defrauding three banks of almost half a million dollars, has done to erode the people’s trust in their public officials.”

At the time of his guilty plea, Doyle admitted to the Court that he accomplished the check-kiting schemes by writing checks from accounts he knew were not backed by sufficient funds and depositing those checks into different accounts to cover daily overdrafts.  Simultaneously, he wrote checks out of the second bank account and deposited those checks back into the first account.  The purpose and effect of writing and depositing these worthless checks was to manipulate the numerical balances in the checking accounts, and thereby create the false and fraudulent appearance that the accounts had sufficient available funds in the accounts and to deceive and trick the banks into honoring the checks drawn against the checking accounts with insufficient funds. 

Doyle executed the scheme on a daily basis, at times undertaking in excess of 50 transactions per day, included the utilization of ATMs in order to lengthen the time it took for checks to be presented for clearing.  The investigation revealed that over the life of the scheme the defendant wrote tens of thousands of worthless checks. 

The case was prosecuted by Assistant U.S. Attorney Dulce Donovan.

The matter was investigated by Internal Revenue Service Criminal Investigation and the Federal Bureau of Investigation.

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PROVIDENCE, RI – Former Rhode Island State Senator and businessman James E. Doyle, III, 46, of Pawtucket, today pleaded guilty in U.S. District Court in Providence to thirty-one counts of bank fraud and one count each of filing a false tax return and failing to file a tax return.

Appearing before U.S. District Court Judge William E. Smith, Doyle admitted to the Court that as owner of Doyle Respiratory, LLC and Doyle Sleep Solutions, LLC, he engaged in $74 million dollars in worthless bank transactions executed in check-kiting schemes through bank accounts he controlled at Bristol County Savings Bank, Alliance Blackstone Valley Federal Credit Union (ABVFCU) and Santander Bank. Doyle admitted that he executed the scheme through the use of checks, cash withdrawals, ATMs electronic transfers and ACH transfer payments.

Doyle’s guilty plea is announced by United States Attorney Stephen G. Dambruch, Special Agent in Charge of Internal Revenue Service Criminal Investigation Kristina O'Connell, and Special Agent in Charge of the FBI Boston Division Harold H. Shaw.

Doyle admitted to the Court that he accomplished the check-kiting scheme by writing checks from accounts he knew were not backed by sufficient funds and depositing those checks into different accounts to cover daily overdrafts in that account.  Simultaneously, he wrote checks out of the second account and deposited those checks back into the first bank account.  The purpose and effect of writing and depositing these worthless checks was to manipulate the numerical balances in the checking accounts, and thereby create the false and fraudulent appearance that the accounts had sufficient available funds in the accounts and to deceive and trick the banks into honoring the checks drawn against the checking accounts with insufficient funds. 

In order to avoid detection, Doyle admitted to the Court, he did this daily throughout the life of the scheme, at times undertaking in excess of 50 transactions per day.  At times, he also utilized ATM machines in order to lengthen the time it took for checks to be presented for clearing. 

The investigation revealed that over the life of the scheme the defendant wrote tens of thousands of worthless checks between the banks at which he maintained accounts. 

Doyle also admitted to the Court that for tax years 2013 thru 2016 he and his wife failed to report to the IRS more than $1 million dollars in income and failed to pay $305,426 in taxes due the IRS.

Doyle is scheduled to be sentenced on January 18, 2019.

The case is being prosecuted by Assistant U.S. Attorney Dulce Donovan.

The matter was investigated by Internal Revenue Service Criminal Investigation and the Federal Bureau of Investigation.

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