Former mortgage exec accused of trying to steal from financial bailout fund pleads not guilty

Former mortgage exec pleads not guilty in Va.

ALEXANDRIA, Va. — The former head of a mortgage lending company accused of scheming to steal more than $500 million from the government’s financial bailout fund has pleaded not guilty in the case.

Lee Bentley Farkas entered the not guilty plea Friday in Alexandria, Va., to charges including conspiracy, bank fraud and wire fraud in connection with the alleged plot at Taylor, Bean & Whitaker Corp.

U.S. District Judge Leonie Brinkema set a Nov. 1 trial date despite protests from Farkas’ lawyer that it will be impossible for the defense to go through the millions of pages of documents in the case by that time.

Farkas still doesn’t have a permanent lawyer because his assets have been frozen. However, the government is expected to unfreeze some of them so he can pay for his defense.