First Brands Founder James Pleads Not Guilty to Fraud

First Brands founder Patrick James and his brother Edward pleaded not guilty to fraud charges and face a July 13 trial in New York stemming from the multibillion-dollar collapse of their auto-parts supply business.

The James brothers entered pleas Wednesday before a federal magistrate judge, and US District Judge Analisa Torres set their trial dates during a separate hearing. Federal prosecutors allege the two former First Brands executives used fake and inflated invoices to persuade lenders to provide billions of dollars in financing to the company.