By USA Daily Now 
In a significant development in the ongoing Alex Murdaugh financial crimes saga, former Palmetto State Bank CEO Russell Laffitte has pleaded guilty to multiple federal fraud charges. Court documents reviewed by WCIV reveal that Laffitte will serve five years in prison and pay $3,555,884.80 in criminal restitution. Additionally, he is barred from working at any federally insured bank or credit union without prior approval.
Laffitte, whose family founded the Hampton, South Carolina-based bank in 1907, allegedly used his position to aid Murdaugh in defrauding clients totaling millions of dollars. He also served as a conservator for several of Murdaugh‘s personal injury clients. During earlier testimony, Laffitte claimed he was unaware of the full extent of Murdaugh‘s schemes and merely followed his instructions.
In 2022, a jury convicted Laffitte of assisting Murdaugh in stealing approximately $2 million from clients. He was initially sentenced to seven years in prison and ordered to pay $3.5 million in restitution. However, in November 2024, an appellate court overturned the sentence, citing mishandling during the trial that violated Laffitte‘s Fifth Amendment rights.
The case ties back to Murdaugh‘s broader criminal activities, including the theft of $4 million from the family of his late housekeeper, Gloria Satterfield, who died following an accident at the Murdaughs’ Moselle estate. Murdaugh also conspired with his college roommate, Cory Fleming, to steal insurance funds from Hakeem L. Pinckney, a quadriplegic athlete injured in a car accident.
Murdaugh is currently serving life in prison for the 2021 murders of his wife, Maggie Murdaugh, and son, Paul Murdaugh, along with additional sentences totaling 67 years for financial crimes in both federal and state courts. Fox News Digital’s Audrey Conklin and Danielle Wallace contributed to this report.
**Sources:** [WCIV](https://abcnews4.com), [Fox News Digital](https://www.foxnews.com)