by Richard Cuthbertson · CBC News
 A 58-year-old lobster dealer with a notorious history in southwest Nova Scotia, Terry Banks, has been sentenced to five years in prison for defrauding a fisheries company of over a million dollars.
Banks, from Brooklyn, N.S., has a lengthy record of large-scale fraud and was sentenced by Nova Scotia Supreme Court Justice Pierre Muise after a trial that highlighted serious issues in the lobster industry, particularly its reliance on trust and informal agreements.
Crown prosecutor Rick Miller emphasized the significant impact of Banks’s actions on the industry, noting that his fraudulent behavior could lead to businesses closing and individuals losing their properties and livelihoods.
The judge, who convicted Banks in January, noted his lack of remorse and pointed to previous convictions, including a 2008 case in which he defrauded a local bank of $2.5 million—an amount that remains unpaid.
This latest case involved Independent Fisheries, which had previously banned sales to Banks due to unpaid debts. During the 2014-2015 season, Independent began selling lobster to D. Light Seafoods International, owned by a reputable Maine businessman. However, the company was managed by Banks’s older brother, Wayne, who allegedly diverted shipments to Terry’s facility, leading to significant financial losses for Independent.
Key evidence was provided by Chris Malone, a former shareholder of Independent, who initially faced charges but testified against Banks. Malone revealed that he was misled about payments from Wayne Banks regarding shipments sent to Terry.
In court, Terry Banks’s defense lawyer, Michael Power, argued that Malone was the true mastermind of the fraud and claimed that Terry should receive a conditional or suspended sentence instead of imprisonment.
