updated: 6/21/2012 7:56:39 AM
Federal prosecutors say sentencing for an Indianapolis businessman convicted of bilking investors out of more than $200 million is not expected to take place for about 90 days. Tim Durham was found guilty on all 12 counts including fraud and conspiracy to commit fraud.
Durham's business partner Jim Cochran was found guilty on eight counts and another partner Rick Snow was convicted on five counts.
June 21, 2012
INDIANAPOLIS – United States Attorney Joseph H. Hogsett released the following statement in response to the jury’s return of guilty verdicts in the matter of U.S. v. Durham this afternoon. This follows a seven day trial before Judge Jane Magnus-Stinson.
“No matter who you are, no matter how much money you have, no matter how powerful your friends are, in a free society, no one is above the law.
“The decision made in this courtroom today sends a powerful warning that if you sacrifice truth in the name of greed, if you steal from another's effort to carve out the American dream to enhance your own, you will be caught. The Office of the United States Attorney will not stand idly by and allow a culture of corruption to exist in this community – now, or in the future.
“This decision also sends a message of hope. Although they will never be made whole, it is my sincere hope that today's verdict brings some measure of justice to the thousands of hardworking people whose financial well-being was destroyed at the hands of these men.
Destruction through selfishness, through self-indulgence, and through lies. Actions that represent a dark side of human nature. These men will now be held fully accountable for their actions.
“Mr. Durham and his co-conspirators used lies and deceit as their business model,” said Assistant Attorney General Breuer. “They duped investors into thinking they were running a legitimate financial services company and misled regulators and others about the health of their failing firm. But all along, they were lining their pockets with other people’s money. Today the jury held them accountable for their crimes, and they each now face the prospect of significant prison time.”
“I want to recognize the great investigative work in this case by the Federal Bureau of Investigation, including Special Agent in Charge Bob Holley, and Special Agents Dennis Hallidan and Doug Kaspar. I applaud their efforts, and they deserve our thanks.
“I'd also like to thank the government's prosecution team, who for the last two weeks, andyears before that, has worked tirelessly in the pursuit of justice. From our office we have Assistant United States Attorneys Winfield Ong and Nick Surmacz, and from the U.S. Department of Justice we have Kathleen McGovern and Henry Van Dyck.”
All Defendants were detained pending a detention hearing Monday, June 25th at 10:00 a.m.
Source: Office of the United States Attorney Southern District of Indiana
Two other defendants learned their verdicts as well. Jim Cochran was found guilty on eight counts, and not guilty on four. Rick Snow was found guilty on five counts, and not guilty on seven.
Prosecutors had argued the three knowingly lied to investors, Ohio state regulators and vendors. The defense says the three were victims of a "perfect storm" of the 2008 economic decline, regulatory changes in Ohio and bad publicity.
Source: Inside INdiana Business, Network Indiana/WIBC