A federal grand jury has indicted former York County Councilman Paul Lindemann on charges related to mortgage fraud.
Lindemann was charged with one count of making false statements on loan documents, the U.S. Attorney's Office said Thursday.
If found guilty, Lindemann faces up to 30 years in prison.
Lindemann and Michael Keith Hallman, both of Fort Mill, are named in the grand jury indictment, signed by U.S. Attorney Bill Nettles.
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According to the indictment:
On or about Feb. 13, 2008, Lindemann and Hallman knowingly made false statements to influence mortgage lender RBC Centura Bank.
The false statements were made in connection with a mortgage refinancing loan Lindemann applied for in the amount of $979,500 for a property at 29022 Windjammer Drive in Tega Cay, a property Lindemann said he formerly owned.
Lindemann and Hallman "made and caused to be made false statements in an application, advance, purchase, loan and mortgage."
Lindemann said Thursday he knows nothing about the indictment, which came after an FBI investigation. He declined to comment further.
Efforts to reach Hallman were unsuccessful Thursday.
Beth Drake, spokeswoman for the U.S. Attorney's Office in Columbia, would not provide additional details.
Lindemann, 31, served two terms representing Fort Mill on the York County Council. He was first elected in 2006. He lost his re-election bid in the 2010 GOP primary.
Lindemann has faced legal problems before:
In 2008, Lindemann was arrested in Columbia and charged with driving under the influence. He pleaded guilty to a reduced charge of driving with an unlawful alcohol concentration and paid a $400 fine, authorities said.
In 2009, a former employee of Lindemann's Fort Mill development firm, Pinecrest Holdings, successfully sued for unpaid compensation. York County court records show that the company, Lindemann and his former partner, Greg Rogers, were ordered to pay $29,230.78.
Last year, a judge ordered Lindemann to pay $2,715 in damages for unpaid compensation to a contractor who completed work for him.
Also last year, Lindemann was ordered to pay $14,800 to a woman who sued him after investing in a Tega Cay house belonging to Lindemann. The plan was to renovate and "flip" the house for profit. But the house was sold in a tax sale after the taxes weren't paid on it.
Lindemann was interviewed by the FBI last year in relation to a company that allegedly misused more than $170,000 a real estate developer had set aside in escrow for a project.
Lindemann said he and Rogers were asked by the company, Advantage Financial, to recruit business and the company owed them commission fees.
The Fort Mill Times contributed.