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Woman to be Sentenced on Bankruptcy Fraud

Woman to be Sentenced on Bankruptcy Fraud

The wife of a former Oahu prison guard is scheduled to be sentenced in federal court Thursday on bankruptcy fraud. A jury found Michelle Malufau guilty in November of making false statements on documents and lying under oath in a 2011 bankruptcy proceeding. Prosecutors say the Laie woman concealed assets including a North Sore Oahu home, a bank account and rental income while clearing more than $1 million of debt by filing for bankruptcy. She faces up to five years in prison on each charge. Her husband is a former guard at Halawa Correctional Facility accused in a federal racketeering indictment of taking bribes.

 

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