First Farmers Financial Executives Sentenced in $179 Million Sham Loan Scheme: CEO Nikesh Patel Gets 25 Years, President Timothy Fisher Gets 10

Case from 2015–2018 (U.S. Attorney's Office latest release: April 26, 2018). Published on Scammers.com Oct. 16, 2026; case status is current as of that date.

Timothy G. Fisher, former president and chief operating officer of First Farmers Financial LLC, was sentenced on April 26, 2018, to 10 years in federal prison for his role in a $179 million sham loan scheme, the U.S. Attorney's Office for the Northern District of Illinois announced [1]. The firm's former CEO, Nikesh A. Patel, was sentenced in March 2018 to 25 years after pleading guilty to five counts of wire fraud, prosecutors said.

How the scheme worked

According to prosecutors [1] [2] [3]:

1. Loans that didn't exist: First Farmers sold 26 fabricated loans to a Milwaukee investment firm for $179 million. Documents made it look as if the loans, with principal amounts of $2.5 million to $10 million, had been made to borrowers in Florida and Georgia and were partly guaranteed by the U.S. Department of Agriculture.
2. Getting USDA approval: Patel submitted false statements about the company's assets and officers to obtain certification in a USDA program that guarantees loans meant to improve rural communities.
3. Fake financials: Fisher admitted creating fictitious financial statements sent to the Milwaukee firm.
4. Laundering: Fisher wired $450,000 of proceeds from First Farmers' Florida account to his personal account in California, then to a Nevada business as an investment.
5. Who lost: The Milwaukee firm bought the loans as an investment vehicle for clients including community banks, retirement plans and municipalities in Illinois and elsewhere, and lost $179 million.

Patel also admitted selling three fabricated loans totaling about $20 million to a Tennessee-based investment firm, prosecutors said [2].

The people sentenced

Nikesh A. Patel, of Windermere, Fla., former chairman and CEO [1]

• Indictment (December 2015): five counts of wire fraud; pleaded not guilty at arraignment Dec. 17, 2015 [4].
• Plea (announced Dec. 7, 2016): pleaded guilty to five counts of wire fraud [2].
• Sentence (March 2018): 25 years in prison.

Timothy G. Fisher, 41 at sentencing, of Pasadena, Calif., former president and COO

• Plea (Nov. 17, 2016): pleaded guilty to one count of money laundering [3].
• Sentence (April 26, 2018): 10 years in prison, imposed by U.S. District Judge Charles P. Kocoras.

The investigation was conducted by the FBI and the U.S. Department of Labor's Employee Benefits Security Administration.

Red flags

• Loan packages backed by "government guarantees" that haven't been confirmed directly with the agency.
• Borrower files you can't verify with the borrowers themselves or with public records.
• A loan seller whose officers or assets can't be independently confirmed.

What to do if you're targeted

1. Confirm any federal loan guarantee directly with the guaranteeing agency, such as the USDA, before buying loan assets.
2. Do independent due diligence on borrowers, collateral and the originator's financial statements.
3. Report suspected fraud involving federal loan programs to the agency's Office of Inspector General and the FBI.

Case status (as of Oct. 16, 2026)

Defendant	Court	Status as of Oct. 16, 2026	Source
Nikesh A. Patel, Windermere, Fla.	N.D. Ill. (Judge Kocoras)	Pleaded guilty to five counts of wire fraud (announced Dec. 7, 2016); sentenced March 2018 to 25 years	[1], [2], [4]
Timothy G. Fisher, Pasadena, Calif.	N.D. Ill. (Judge Kocoras)	Pleaded guilty Nov. 17, 2016, to money laundering; sentenced April 26, 2018, to 10 years	[1], [3]

The sentences were imposed in 2018; we have not found a source on any later proceedings.

Sources

1. U.S. Attorney's Office, Northern District of Illinois, "President of Florida-Based Financial Firm Sentenced to 10 Years in Prison for Role in $179 Million Sham Loan Scheme," April 26, 2018. https://www.justice.gov/usao-ndil/pr/president-florida-based-financial-firm-sentenced-10-years-prison-role-179-million-sham
2. U.S. Attorney's Office, Northern District of Illinois, "Chief Executive of Florida-Based Financial Firm Guilty of Fraud in $179 Million Sham Loan Scheme," Dec. 7, 2016. https://www.justice.gov/usao-ndil/pr/chief-executive-florida-based-financial-firm-guilty-fraud-179-million-sham-loan-scheme
3. U.S. Attorney's Office, Northern District of Illinois, "President of Florida-Based Financial Firm Guilty of Money Laundering in $179 Million Sham Loan Scheme," Nov. 18, 2016. https://www.justice.gov/usao-ndil/pr/president-florida-based-financial-firm-guilty-money-laundering-179-million-sham-loan
4. U.S. Attorney's Office, Northern District of Illinois, "CEO of Florida Financial Firm Arraigned on Fraud Charges in $179 Million Sham Loan Scheme," Dec. 17, 2015. https://www.justice.gov/usao-ndil/pr/ceo-florida-financial-firm-arraigned-fraud-charges-179-million-sham-loan-scheme

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