24 months for Duane White

By Maurice Emery
Editor

Former Eaton Ferry Marina owner Ronald Duane White was sentenced to 24 months in federal prison by U. S. District Judge James C. Dever III of the US District Court Eastern District of North Carolina in Raleigh according to a press release from the Department of Justice. White had pleaded guilty to one count of bank fraud earlier this year.

The courts found that White had pledged the same collateral to GE Capital and BB&T Bank.  The problem arose when he reached an agreement with BB&T to extend Eaton Ferry’s line of credit from $6.7 million to $8.5 million.

Acting United States Attorney John S. Bruce stated: “This type of fraudulent behavior puts the financial institutions and lending markets that so many of our citizens depend on at risk, and it is imperative that this type of criminal conduct be deterred.”

In a telephone interview with Betsy Medlin, Whites mother-in-law, it was learned that there were roughly 100 letters sent to Judge Dever on behalf of White.  The letters talked about all the good he has done and his years of good citizenship in the community.

The governments sentencing memorandum for White lays out the reasons why he feels his sentenced should fall under a different category for sentencing and lead to a lighter sentence.  In the memorandum the government in a small way makes the case that Whites mother-in-law, Betsy Medlin expressed to the Observer in a recent phone conversation.  She talked about what a good man he is and that he just made a mistake.  White did agree to continue to manage Eaton Ferry Marina even after BB&T Bank, the holder of the loan that led to the charges in this case, took the property back.  He did not have to make that agreement.  

Medlin commented that what seems to have gone by the wayside in all of what has happened is that White took a piece of property with only a small trailer on it and turned it into a multi-million dollar business. “He had fifteen years of good business,” Medlin stated.  Over the years he has employed many people and built the business into what became one of largest tax bases in Warren County. 

When asked where she hoped White would be sent to serve his sentence Medlin replied, “Butner.”  Butner is a low security complex located near Research Triangle Park.  It had been rumored that White would go to a place to deal with his bi-polar disorder that was brought up during the sentencing procedure as a possible extenuating cause to be considered in keeping his sentence as short as possible.

Robert Trumbo, Resident Agent in Charge of the Raleigh Resident Office of the United States Secret Service noted: “Regardless of how elaborate a scheme, the United States Secret Service will continue to aggressively pursue those who prey on financial institutions and ultimately the public’s trust.”

At this time there has been no indication where he will serve his sentence.   White is now free until the U. S. Bureau of Prisons decides where he will serve his sentence.  In addition to the prison sentence White has agreed to forfeit, his assets on Bald Head Island, North Carolina and any equity interest in a membership at The Bald Head Island Club and/or Bald Head Island Yacht Club (including any interest in any boat slips on Bald Head Island) plus the real property and at Lot 9 of Osprey Pointe on Lake Gaston in Littleton, North Carolina. He also agreed to allow other assets to be subject forfeiture as determined by the Court.