Haskell Knight and Emily Knight, both residents of Franklin, Tennessee, have pled guilty to federal fraud charges. The announcement was made by Acting United States Attorney April M. Leon. The charges relate to Trey Knight's business, Udoxa, and the couple's bankruptcy filings.
In 2016, Trey Knight sought investment capital for Udoxa, a company purportedly marketing nutritional supplements. However, the company never conducted any sales. Under false pretenses, he solicited $50,000 loans from several victims but failed to initiate the business as promised. He misrepresented various aspects of the business to secure funds which were then used for personal expenses and old business debts.
In May 2017, the Knights filed for bankruptcy in Florida's Middle District and listed their victims as unsecured creditors of Udoxa. During this process, Trey Knight did not provide accurate financial information and made false statements under oath about his income and liabilities at a creditors' meeting. Both Knights falsely claimed unemployment during this time.
Their actions hindered the bankruptcy trustee's ability to execute proceedings properly, leaving creditors with less money than they were owed while allowing the Knights to retain significant funds unjustly.
The Federal Bureau of Investigation is conducting an investigation into this matter. Assistant United States Attorney Jessica M.P. Thornhill is prosecuting the case.
