Murdaugh banker, Russell Laffitte, must report to prison Thursday after bond request denied
More than 10 months after a federal jury in Charleston convicted him of numerous counts of bank and wire fraud, Hampton former banker Russell Laffitte finally has to report to prison.
On Wednesday, the U.S. Fourth Circuit Court of Appeals denied a motion by Laffitte’s lawyers that would have allowed him to stay out of prison pending an appeal of his conviction and his seven-year prison sentence. The appeal will go on, but with Laffitte behind bars.
Now, Laffitte, who was convicted of conspiring to steal millions with double-murderer Alex Murdaugh, will have to report to federal prison.
The notice denying either bail or his release was sent to attorneys in the case by the Court of Appeals.
“While we are disappointed, we respect the decision of the court,” said Mark Moore, Laffitte’s lead lawyer.
The former CEO of Palmetto State Bank, who was convicted of using his position to conspire with Murdaugh steal millions from his clients, was sentenced to seven years in prison and ordered to pay $3.55 million in restitution for his role in the scheme.
He was convicted on federal charges following a nearly three-week trial last November.
Last week, U.S. District Court Judge Richard Gergel ruled that Laffitte could remain free until Sept. 28 pending the outcome of the appeal.
“No further extensions will be granted,” Gergel warned at the time.
Laffitte must now report to the U.S. Bureau of Prisons to begin serving his seven-year sentence. He has been assigned to Federal Correctional Institution Coleman outside Orlando, Florida.
He was found guilty of six counts of conspiracy, bank and wire fraud and misapplication of bank funds following a three-week long trial at the federal court in Charleston.
But since his conviction, Laffitte, who comes from a family tradition of local bankers, has filed multiple appeals in a bid to stay out of prison. In May, Gergel struck down a second appeal by his attorneys, which argued that he should be granted a new trial after Murdaugh, testifying in his own defense during his murder trial, said Laffitte “never conspired with me to do anything.”
Rejecting the appeal, Gergel called Murdaugh “manifestly not a credible witness.”
Laffitte was prosecuted by Assistant U.S. Attorneys Winston Holliday, Emily Limehouse and Kathleen Stoughton.
Throughout his sentencing and appeals, Laffitte has been represented by former federal prosecutor Moore, John Cowles Neiman, Jr., Michael Parente and William Walter Wilkins of the Maynard Nexsen law firm.
This is a breaking news story. Check back here for updates.
This story was originally published September 27, 2023 at 11:01 AM.