A person may not file a lien or an encumbrance in a public or private record against the real or personal property of another if the person knows that the lien or encumbrance is: false; or contains or is based on a materially false, fictitious, or fraudulent statement or representation. A person who violates this section is guilty of a misdemeanor and on conviction is subject to: for a first violation, imprisonment not exceeding 1 year or a fine not exceeding $10,000 or both; and for each subsequent violation, imprisonment not exceeding 5 years or a fine not exceeding $10,000 or both.