Former banker and accomplice of convicted murderer Alex Murdaugh, Russell Laffitte, has agreed to plead guilty to several financial crimes after a court of appeals overturned his earlier conviction and sentence. Laffitte, who was involved in a high-profile financial scandal, will now face legal consequences for his role in the fraud scheme.
Details of the Plea Agreement
According to court records, Laffitte has pleaded guilty to six charges in U.S. District Court. These charges include conspiracy to commit wire fraud and bank fraud, wire fraud, bank fraud, and three counts of misapplication of bank funds. If Laffitte follows the terms of the plea agreement, he will be sentenced to 60 months in prison. Additionally, the government has agreed not to file any further charges related to the case.
As part of the plea deal, Laffitte has also agreed to pay $3,555,884.80 in criminal restitution. Furthermore, Laffitte is prohibited from engaging in any business activities related to federal banks or credit unions.
Background on Laffitte’s Role in the Crime
Russell Laffitte was the CEO of Palmetto State Bank when he allegedly used his position to assist Alex Murdaugh, a former attorney now convicted of murder, in stealing money from clients. Laffitte was found guilty in 2023 for his involvement in the scheme, which led to a prison sentence of seven years. However, his sentence was appealed and overturned by the court of appeals in November 2024.
The court ruling cited errors in the original trial, particularly issues with the jury that violated Laffitte’s Fifth Amendment rights. As a result, the case was sent back to U.S. District Court for further proceedings.
The Impact of the Court’s Decision
Before his sentence was vacated, Laffitte was sentenced to seven years in federal prison and ordered to pay the same restitution amount. With the appeals court decision, Laffitte will now face a new round of legal proceedings, but the terms of his guilty plea offer a clearer path to resolution.
Russell Laffitte’s guilty plea marks a significant moment in the ongoing fallout from the Alex Murdaugh case. While Laffitte’s legal troubles are far from over, this plea agreement offers some closure to the financial crimes he committed. The restitution payment and prison sentence are part of the consequences he will face for his role in the scandal that shook South Carolina.
