Prosecutors say the former owner of Kingdom Homes wrote numerous checks to himself during 2001, mostly to cover personal and business debts. Webb owed more than $900,000 to his creditors, and by September of 2001 he was $1 million in debt.
Where he got a lot of the money to write those checks was from deposits made by customers for manufactured homes. Two customers actually paid him full price for a home, for which they took out a loan.
"We go to this guy; he had a Christian background," says Michael McGilton, "and we think we'll be safe and we get ripped off for all this money ($80,000).”
Webb pleaded guilty to six separate counts, all regarding sales of homes that were never delivered to customers. He will actually face charges regarding two of those clients. The McGilton’s were the only clients from Ohio. The others could see some restitution, thanks to a special fund for West Virginia residents.
"Kingdom Homes was licensed in both West Virginia and Ohio, so it was part of that fund," says assistant Washington County prosecutor Jim Schneider. "The Ohio law is more peculiar in that it does not give protection, except for businesses who voluntarily contributed to an insurance fund. Kingdom Homes did not do that."
Webb's sentencing is scheduled for November 9. He could receive as many as three years in prison and a $10,000 fine.
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