Nashua man enters guilty plea in check kiting scheme

CLEAR LAKE – A North Iowa man who was arrested and charged with felony first degree theft late last year by Clear Lake police has entered a guilty plea and has been sentenced.

On August 1, 2014, the Clear Lake Police Department took a theft report from Clear Lake Bank and Trust. The theft was in reference to Clear Lake Bank and Trust account holder Dirk Firman, DBA as Transvideo Teleproductions. Along with the theft report, the bank reported the account holder, Firman, was obviously using a technique called “Check Floating” or “Check Kiting”. This technique involves writing checks in between accounts at multiple banks. The technique takes advantage of check processing time and fools the banks into thinking the funds in between banks are sufficient. According to Clear Lake Bank and Trust and bank records between the month of July 2014, thousands of dollars were moved back and forth between two bank accounts held by Dirk Firman, and his wife Janise. Firman was overdawn on his Clear Lake Bank and trust account to the tune of $15,666.36. Bank employees made several attempts to contact Firman about the money. Firman’s attorney contacted the Bank and said Firman acknowledges he owes the money, but was unable to pay it in the time allowed.

A ten day notice was served upon Firman and his wife Janise on September 25, 2014. Shortly after receiving the notice. The overdrawn amount was not paid. On Oct. 28, 2014, Dirk Firman was charged with first Degree theft, a class C felony and a warrant was issued for his arrest.

On May 5, Firman pleaded guilty to second degree theft, a felony, and was given a deferred judgment. He was given 5 years of probation, forced to submit a DNA sample, and ordered to pay $16,742.36 in fines, court fees and restitution.