CHATTANOOGA, Tenn. – Contractor and real estate developer Anthony Dowlen, 50, of Chattanooga, has been indicted by a federal grand jury on 14 counts of interstate transportation of fraudulently obtained money and money laundering.
In a news release, a spokeswoman for the U.S. attorney’s office in Knoxville said the indictment alleges that Dowlen falsified records to defraud a partnership, d/b/a Colony Limited Partnership, of advances intended to finance the construction and development of real estate in Hamilton County.
The release said Dowlen did not fully pay his subcontractors for work they had performed and misapplied funds that should have been used to pay them. He also falsely represented to some purchasers of his homes that he needed additional funds to complete the projects. Dowlen allegedly misapplied funds obtained under false pretenses to pay for personal expenses, including but not limited to, trips, vacations, antique automobiles, and gifts, the release stated.
Dowlen made his initial appearance Monday and was released on bond pending an April 4 trial before U.S. District Judge Curtis L. Collier, the release stated.
Dowlen could not immediately be reached for comment.