A former Thief River Falls bank officer accused of embezzling $396,000 has pleaded guilty in U.S. District Court in Minneapolis, court records show.
Vicki Lynn Torgerson, 48, faces up to 30 years in prison on the charge of embezzlement by a bank officer. Sentencing has not been scheduled.
Prosecutors say that, between July 2005 and March 2013, she took money from ATMs and the backup cassettes to the machines. Torgerson was a consumer loan officer for Northern State Bank at the time.
Jeanne Cooney, a spokeswoman at the Minnesota U.S. Attorney’s Office, said earlier that sentencing is expected within 90 days of a plea.
The case was initially investigated by the Pennington County attorney but was turned over to federal prosecutors in May.
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Showing posts with label Minnesota. Show all posts
Showing posts with label Minnesota. Show all posts
Thursday, November 28, 2013
Monday, May 6, 2013
Wykoff, Minnesota woman charged with embezzling from bank
Cheryl Lynn Holzer was charged Friday with one count of bank embezzlement following an investigation by the FBI, according to a news release from a spokesman with the U.S. Attorney-Minnesota.
Holzer allegedly took bundles of cash from the bank’s vault between December 2010 and February 2012.
If convicted, Holzer faces a maximum penalty of 30 years in prison. Any sentence will be determined by a federal district court judge.
A 64-year-old woman from the southeastern Minnesota offered a guilty plea Wednesday to embezzling more than $35,000 from a bank where she worked as the head teller.
Cheryl Lynn Holzer pleaded guilty to one count of bank embezzlement in U.S. District Court in Minneapolis.
In her plea agreement, Holzer admitted that between December 2010 and February 2012, she took bundles of cash from the vault at the Security State Bank in Wykof for her personal use, primarily to pay her mortgage and other bills.
For her crime Holzer faces a potential maximum penalty of 30 years in prison. Judge David Doty will determine her sentence at a later date
Thursday, January 17, 2013
Ex-Minnesota Bank Employee Sentenced For Embezzling
A former bank employee will have to pay $1 million restitution for embezzling from customers of the Marshall bank where she worked.
Forty-eight-year-old Barbara Kaye Rechtzigel of Belview also was sentenced Wednesday in federal court to two years in prison.
Rechtzigel pleaded guilty in August to one count of embezzlement by a bank officer. She worked as senior operations manager at Minnwest Bank until she was fired in June.
In a plea agreement, she admitted embezzling money by creating false paperwork to make customers believe their CDs were renewed and earning interest, when she was actually taking the money.
The bank reimbursed customers more than $1 million.
Forty-eight-year-old Barbara Kaye Rechtzigel of Belview also was sentenced Wednesday in federal court to two years in prison.
Rechtzigel pleaded guilty in August to one count of embezzlement by a bank officer. She worked as senior operations manager at Minnwest Bank until she was fired in June.
In a plea agreement, she admitted embezzling money by creating false paperwork to make customers believe their CDs were renewed and earning interest, when she was actually taking the money.
The bank reimbursed customers more than $1 million.
Monday, August 6, 2012
Prosecutors seek 10-year sentences for principals in Pinehurst Bank scheme in Minnesota
FROM TWINCITIES.COM -
Federal prosecutors are seeking 10-year prison terms for John Markert and George Wintz, who were convicted in April on charges related to a $1.8 million check-kiting scheme at the former Pinehurst Bank in St. Paul.
But attorneys for Markert, the former president of Pinehurst, and Wintz -- a trucking company owner who was a major customer at the bank -- want sentences that involve probation or home confinement.
The two were convicted following a 12-day trial that found Markert, 58, of Mendota Heights, guilty on five counts of misapplication of bank funds, along with an acquittal on bank fraud charges.
Wintz, 72, of Minneapolis, was found guilty of bank fraud and embezzlement, while being acquitted on the misapplication-of-funds charges.
Prosecutors filed papers Monday, Aug. 6, arguing for the 10-year sentences. The dueling position papers about what punishment the two should receive revisit disagreements at trial about whether the bank actually lost any money. Both sides also disagree with portions of a pre-sentence investigation by probation officers, which assigns "offense levels" to the crime and can push a recommended prison sentence up or down.
While the probation office found that Markert, for instance, should see his offense level rise because he abused a position of trust at the bank and jeopardized the bank's soundness, his attorneys disagree.
They argue that Markert was trying to save the bank from insolvency after Wintz's overdraft, and that a sentence of probation is appropriate.
Meanwhile, Wintz's attorney, Andy Luger, is asking for a "creative and unique" sentence for his client. He argues that Triangle Warehouse -- Wintz's trucking and warehouse company in Northeast Minneapolis, which employs more than 130 people full-time -- shouldn't have to go out of business.
Luger requests a prison sentence for Wintz that runs on weekends, confines him to his home when he's not working, and suggests a court-appointed financial monitor to watch his business dealings.
"In his few remaining productive years in business, Wintz requests that he be allowed to serve a sentence that allows him to save the jobs and careers of his employees," Luger argued in his position paper.
Evidence at trial showed that Wintz had a history of kiting checks -- which involves flowing funds between two checking accounts at different banks to cover overdrafts -- and that bank employees had made Markert aware of it. When Wintz's kiting produced the $1.8 million overdraft in 2009, Markert helped put together a scheme to originate loans in the names of five people -- including Wintz's daughter and a long-time employee -- to cover the overdraft.
Prosecutors say those five "nominee loans" were fraudulent, and that the actual loss in the case is $1.8 million. Attorneys for Markert and Wintz argue that the bank didn't lose any actual cash, and that Wintz continues to make payments on the five loans, which are now held by Coulee Bank, based in Wisconsin.
The jury cleared a third defendant at trial, Greg Pederson, a former senior loan officer at Pinehurst, on all counts.
Sentencing dates have not been set for Markert and Wintz.
The final decision on sentencing will be up to U.S. District Court Judge Ann Montgomery, who is handling the case.
Federal prosecutors are seeking 10-year prison terms for John Markert and George Wintz, who were convicted in April on charges related to a $1.8 million check-kiting scheme at the former Pinehurst Bank in St. Paul.
But attorneys for Markert, the former president of Pinehurst, and Wintz -- a trucking company owner who was a major customer at the bank -- want sentences that involve probation or home confinement.
The two were convicted following a 12-day trial that found Markert, 58, of Mendota Heights, guilty on five counts of misapplication of bank funds, along with an acquittal on bank fraud charges.
Wintz, 72, of Minneapolis, was found guilty of bank fraud and embezzlement, while being acquitted on the misapplication-of-funds charges.
Prosecutors filed papers Monday, Aug. 6, arguing for the 10-year sentences. The dueling position papers about what punishment the two should receive revisit disagreements at trial about whether the bank actually lost any money. Both sides also disagree with portions of a pre-sentence investigation by probation officers, which assigns "offense levels" to the crime and can push a recommended prison sentence up or down.
While the probation office found that Markert, for instance, should see his offense level rise because he abused a position of trust at the bank and jeopardized the bank's soundness, his attorneys disagree.
They argue that Markert was trying to save the bank from insolvency after Wintz's overdraft, and that a sentence of probation is appropriate.
Meanwhile, Wintz's attorney, Andy Luger, is asking for a "creative and unique" sentence for his client. He argues that Triangle Warehouse -- Wintz's trucking and warehouse company in Northeast Minneapolis, which employs more than 130 people full-time -- shouldn't have to go out of business.
Luger requests a prison sentence for Wintz that runs on weekends, confines him to his home when he's not working, and suggests a court-appointed financial monitor to watch his business dealings.
"In his few remaining productive years in business, Wintz requests that he be allowed to serve a sentence that allows him to save the jobs and careers of his employees," Luger argued in his position paper.
Evidence at trial showed that Wintz had a history of kiting checks -- which involves flowing funds between two checking accounts at different banks to cover overdrafts -- and that bank employees had made Markert aware of it. When Wintz's kiting produced the $1.8 million overdraft in 2009, Markert helped put together a scheme to originate loans in the names of five people -- including Wintz's daughter and a long-time employee -- to cover the overdraft.
Prosecutors say those five "nominee loans" were fraudulent, and that the actual loss in the case is $1.8 million. Attorneys for Markert and Wintz argue that the bank didn't lose any actual cash, and that Wintz continues to make payments on the five loans, which are now held by Coulee Bank, based in Wisconsin.
The jury cleared a third defendant at trial, Greg Pederson, a former senior loan officer at Pinehurst, on all counts.
Sentencing dates have not been set for Markert and Wintz.
The final decision on sentencing will be up to U.S. District Court Judge Ann Montgomery, who is handling the case.
Thursday, July 26, 2012
MN Woman Charged with Embezzling Funds from Minnwest Bank
FROM TCBBLOG.COM -
A Minnesota woman is facing federal charges for allegedly embezzling “hundreds of thousands of dollars” from the bank where she worked, Minnesota’s U.S. Attorney’s office said Tuesday.
Barbara Kaye Rechtzigel, a 47-year-old woman from the southwestern Minnesota town of Belview, is accused of stealing funds from the certificate of deposit (CD) accounts of customers of Minnwest Bank in Marshall.
Rechtzigel is accused of stealing customers’ money over the course of more than a decade—1998 through June 2012—for her personal use. Court documents state that she’s accused of stealing “hundreds of thousands” of dollars; U.S. Attorney’s office spokeswoman Jeanne Cooney said Wednesday that investigators are still compiling evidence to calculate the exact amount of money that Rechtzigel allegedly embezzled, so the office is unable to provide a more specific dollar amount at this time.
Rechtzigel faces one count of embezzlement by a bank officer, and she was charged via information, which generally indicates that a plea agreement is expected. She faces up to 30 years in prison if convicted
A Minnesota woman is facing federal charges for allegedly embezzling “hundreds of thousands of dollars” from the bank where she worked, Minnesota’s U.S. Attorney’s office said Tuesday.
Barbara Kaye Rechtzigel, a 47-year-old woman from the southwestern Minnesota town of Belview, is accused of stealing funds from the certificate of deposit (CD) accounts of customers of Minnwest Bank in Marshall.
Rechtzigel is accused of stealing customers’ money over the course of more than a decade—1998 through June 2012—for her personal use. Court documents state that she’s accused of stealing “hundreds of thousands” of dollars; U.S. Attorney’s office spokeswoman Jeanne Cooney said Wednesday that investigators are still compiling evidence to calculate the exact amount of money that Rechtzigel allegedly embezzled, so the office is unable to provide a more specific dollar amount at this time.
Rechtzigel faces one count of embezzlement by a bank officer, and she was charged via information, which generally indicates that a plea agreement is expected. She faces up to 30 years in prison if convicted
Thursday, May 13, 2010
Alexandria, Minnesota Man Pleads Guilty to $800,000 Mortgage Fraud Scheme
A 61-year-old Alexandria man pleaded guilty today in federal court in Minneapolis to charges connected to a scheme to defraud mortgage lenders and others out of more than $800,000. Appearing before United States District Court Judge Joan N. Ericksen, Dale Charles Dodge, Jr., pleaded guilty to one count of wire fraud and one count of engaging in a monetary transaction with property derived from specified unlawful activity, commonly referred to as money laundering. Dodge was indicted on September 15, 2009. In his plea agreement, Dodge admitted that from 2002 through 2005, he operated a title closing company under the names Premier Title & Abstract, Inc., and Verity Title & Abstract. As part of that operation, he maintained an escrow account, into which mortgage lenders regularly deposited loan proceeds for distribution at transaction closings pursuant to the terms of the real estate agreements. He also contracted the services of a title insurer, who underwrote most of the real estate transactions closed through his company. Title insurers, often called underwriters, are liable to lenders, borrowers, and others if escrow and other transaction funds are improperly disbursed.
The plea agreement goes on to state that between 2002 and 2005, Dodge admittedly executed a scheme to defraud mortgage lenders and others out of large sums of money by diverting loan proceeds from the escrow account at his title company. The money was used for his personal benefit as well as the benefit of his company and others involved in the scheme. Specifically, Dodge fraudulently removed the funds or caused the funds to be removed from the escrow account to pay his salary and the salaries of company employees in addition to other nonescrow business expenses. Frequently, those expenses were paid through wire transfers from the escrow account to other accounts under Dodge’s control. Furthermore, Dodge admitted concealing these actions from his title insurer, mortgage lenders, and property sellers and purchasers.
Dodge’s fraud scheme caused losses of more than $800,000. Approximately $844.561.60 is owed to one specific mortgage lender, who mistakenly deposited money into Dodge’s escrow account. An additional amount is owed to First American Title Insurance Company, Dodge’s title insurer, which was required under law to pay certain outstanding escrow obligations for which Dodge was unable to pay.
For his crimes, Dodge faces a potential maximum penalty of 20 years in prison for wire fraud and ten years for money laundering. Judge Ericksen will determine his sentence at a future hearing, yet to be scheduled.
This case is the result of an investigation by the Internal Revenue Service-Criminal Investigation Division, the U.S. Postal Inspection Service and the Federal Bureau of Investigation. It is being prosecuted by Assistant U.S. Attorney Tracy L. Perzel.
The plea agreement goes on to state that between 2002 and 2005, Dodge admittedly executed a scheme to defraud mortgage lenders and others out of large sums of money by diverting loan proceeds from the escrow account at his title company. The money was used for his personal benefit as well as the benefit of his company and others involved in the scheme. Specifically, Dodge fraudulently removed the funds or caused the funds to be removed from the escrow account to pay his salary and the salaries of company employees in addition to other nonescrow business expenses. Frequently, those expenses were paid through wire transfers from the escrow account to other accounts under Dodge’s control. Furthermore, Dodge admitted concealing these actions from his title insurer, mortgage lenders, and property sellers and purchasers.
Dodge’s fraud scheme caused losses of more than $800,000. Approximately $844.561.60 is owed to one specific mortgage lender, who mistakenly deposited money into Dodge’s escrow account. An additional amount is owed to First American Title Insurance Company, Dodge’s title insurer, which was required under law to pay certain outstanding escrow obligations for which Dodge was unable to pay.
For his crimes, Dodge faces a potential maximum penalty of 20 years in prison for wire fraud and ten years for money laundering. Judge Ericksen will determine his sentence at a future hearing, yet to be scheduled.
This case is the result of an investigation by the Internal Revenue Service-Criminal Investigation Division, the U.S. Postal Inspection Service and the Federal Bureau of Investigation. It is being prosecuted by Assistant U.S. Attorney Tracy L. Perzel.
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