Midvale man sentenced for bankruptcy fraud, bribery

SALT LAKE CITY (ABC4) — A Midvale man has been sentenced after a federal jury found him guilty of bankruptcy crimes, according to the U.S Attorney’s Office, District of Utah.

Richard Villanueva Mitchell, 54, of Midvale, was sentenced to two years’ probation for bankruptcy fraud, false bankruptcy declaration, and bribery in bankruptcy in Aug. 2024.

Mitchell filed for bankruptcy in May 2017 in an effort to get rid of over $600,000 in debt. He disclosed “little to no assets” at the time, according to court documents.

In Oct. 2017, authorities found that Michell owned multiple storage trailers full of hundreds of new household appliances. Mitchell was in possession of “dishwashers, refrigerators, washers, dryers and ranges.” He had previously borrowed around $500,000 to buy the items, officials said.

Evidence brought forth at trial reportedly showed that Michell was planning to hide the assets from bankruptcy court and sell them for his own benefit. He was self-employed — supplying, installing, and repairing appliances for building contractors.

“Mr. Mitchell attempted to selfishly deprive the bankruptcy system established for honest debtors seeking relief in a financial crisis,” Acting United States Attorney Felice John Viti of the District of Utah stated. “Fortunately, our hardworking law enforcement partners and prosecutors were able to gather strong evidence of Mitchell’s guilt and achieve a guilty verdict in this case.”

The FBI Salt Lake City Field Office investigated this case.

No further information is available at this time.