Bank Fraud and Wire Fraud Offenses in Texas Courts

Bank fraud and wire fraud are complex white-collar crimes that often involve federal and state prosecution—especially in Texas courts where financial crimes are taken seriously. These offenses can include forging checks, falsifying loan documents, or using electronic communications to carry out schemes to defraud banks or individuals. Under Texas Penal Code and federal statutes like 18 U.S.C. § 1343, convictions can lead to hefty fines, restitution, and long prison terms. In this post, we break down how these fraud charges are investigated, what evidence prosecutors rely on, and the legal defenses available. If you're facing allegations and need an experienced attorney near you, early intervention is crucial to building a strong defense.

Bank Fraud and Wire Fraud Offenses in Texas Courts

Bank fraud and wire fraud are serious offenses under both Texas and federal law, carrying significant penalties including substantial fines and lengthy prison sentences. These crimes involve deceptive practices aimed at unlawfully obtaining money or assets, often through complex schemes that exploit financial institutions or electronic communication systems.

Understanding Bank Fraud

Bank fraud encompasses a variety of illegal activities designed to defraud financial institutions or obtain funds under false pretenses. Common forms include:

Check kiting: Writing checks from accounts with insufficient funds, relying on the float time to cover the deficit.
Loan fraud: Providing false information on loan applications to secure funds.
Account takeover: Gaining unauthorized access to someone else's bank account to withdraw funds.

Under Texas Penal Code § 32.51, fraudulent use or possession of identifying information, such as bank account numbers, is a criminal offense. Penalties vary based on the number of items involved and can range from state jail felonies to first-degree felonies.

Understanding Wire Fraud

Wire fraud involves the use of electronic communications to execute a scheme to defraud. This includes emails, phone calls, or any form of electronic communication transmitted across state lines. Common examples are:Justia Law+2Wikipedia+2Wikipedia+2 The Law Office of Greg Tsioros

Phishing scams: Sending fraudulent emails to trick individuals into revealing personal information.
Business email compromise: Hacking into business email accounts to initiate unauthorized wire transfers.
Online auction fraud: Misrepresenting products or failing to deliver items sold online.

Wire fraud is primarily prosecuted under federal law, specifically 18 U.S.C. § 1343, which carries penalties of up to 20 years in prison and fines. If the fraud affects a financial institution or involves a federally declared disaster, the penalties can increase to 30 years in prison and fines up to $1 million.Wikipedia

Penalties and Sentencing

The severity of penalties for bank and wire fraud offenses depends on various factors, including the amount of money involved, the number of victims, and whether the defendant has prior convictions. Sentencing guidelines consider these elements to determine appropriate punishment.

In Texas, bank fraud can result in:

State jail felony: 180 days to 2 years in state jail and fines up to $10,000.
Third-degree felony: 2 to 10 years in prison and fines up to $10,000.
Second-degree felony: 2 to 20 years in prison and fines up to $10,000.

Wire fraud, being a federal offense, carries penalties as outlined above, with enhancements possible for aggravating factors.Norris Legal Defense

Notable Cases in Texas

Case 1: Financial Advisor's Multi-Million Dollar Fraud

In 2025, a former financial advisor in the Western District of Texas was sentenced to 12 years in federal prison for a multi-million-dollar fraud scheme. The advisor pleaded guilty to conspiracy to commit wire fraud and bank fraud, among other charges. He abused the trust of his clients, stealing millions of dollars to enrich himself. The case was investigated by the FBI and IRS-CI. Department of Justice+1Department of Justice+1

Case 2: $1.9 Million Bank Fraud Scheme

In 2023, Nohmaan Malik was sentenced to over 13 years in federal prison for orchestrating a $1.9 million bank fraud scheme in the Northern District of Texas. Malik and his co-conspirators created counterfeit passport cards using victims' information to access their bank accounts and transfer funds to accounts controlled by the fraudsters. Department of Justice

Legal Defenses

Defending against bank and wire fraud charges requires a strategic approach. Potential defenses include:Texas Criminal Defense Group Department of Justice+1talkSPORT+1

Lack of intent: Demonstrating that there was no intention to defraud.
Mistaken identity: Arguing that the accused was not the person who committed the offense.
Insufficient evidence: Challenging the adequacy of the prosecution's evidence.
Entrapment: Claiming that law enforcement induced the defendant to commit the crime.

Conclusion

Bank and wire fraud offenses are complex and carry severe penalties under Texas and federal law. If you or someone you know is facing such charges, it's crucial to seek experienced legal representation.

Contact Walker Law Office at (713) 228-2611 or visit https://www.walkerlawhouston.com/contact/ to schedule a consultation and protect your rights.

Blog