Brian Brady, president of Utah-based Cobalt Homes, has been sentenced to 90 days in a case of subcontractor and homeowner fraud, according to local news reports.
Brady was sentenced by a Salt Lake County third district court judge to 90 days, with a fine of more than $300,000 for defrauding homeowners. He also will serve six years probation after pleading guilty to four third-degree felony counts of communications fraud.
Brady was charged after failing to fulfill promises to homeowners to pay liens that had been placed against them from subcontractors that did work for Cobalt. The builder developed resort areas in and around the city of Draper, Utah.
According to Utah court records, Brady filed for Chapter 7 bankruptcy protection in July 2008.
Additionally, an office manager for Cobalt homes named Melissa Brunner earlier pleaded guilty to four Class A misdemeanor charges of attempted communications fraud. Her sentence was suspended, but she was ordered to pay a fine of around $130,000 in the matter.