A federal jury in Scranton found James Mahon, IV, 66, of Shavertown, Pennsylvania, guilty on June 18, 2026, of bank fraud and conspiracy to commit bank and wire fraud. Mahon, formerly the Executive Vice President of Wilkes-Barre-based Tammac Holdings, was implicated in a scheme to manipulate loan portfolios.
According to United States Attorney Brian D. Miller, from 2008 to 2021, Mahon and other Tammac employees suppressed delinquency rates by falsifying loan payments. They also repossessed properties without remitting proceeds to banks and investors. Additionally, Tammac executives provided false records to auditors, banks, and investors, and misrepresented loan portfolio statuses when the company was sold in 2019.
The Federal Bureau of Investigation conducted the investigation, with Assistant United States Attorneys Joseph J. Terz and Geoffrey W. MacArthur prosecuting the case. Mahon faces a maximum sentence of 60 years in prison, a $500,000 fine, and a term of supervised release. The final sentence will be determined by the Judge based on federal sentencing statutes and guidelines.