Update: Two Government Fraud Cases Go to Sentencing
July 29, 2013
We previously reported on two cases involving fraud against the Government in connection with contracting and loan guarantee programs – the case of Donald and Sherri Brewer and the case of Sandy Oh. The defendants in each of these cases were recently sentenced, providing yet another reminder (if one were needed) that defrauding the Government comes with serious – and sometimes unique – penalties.
The Brewers. As previously reported here, Donald and Sherri Brewer were convicted of conspiracy to defraud the government, wire fraud, and major fraud against the government in connection with a sham business related to Air Force contracts.
The Brewers were sentenced on June 28 to 85 years of probation and forfeiture of $6.4 million. The probationary term was likely due, in part, to Mr. Brewer’s poor health, which was detailed in a well-done sentencing memorandum filed on his behalf. Additionally, according to news reports, the Brewers were also sentenced to write a letter to be published in a newspaper in Clovis, New Mexico, where the Brewers live.
Specifically, according to news reports, the Judge stated, “There has not been a full and forthcoming acceptance of responsibility. There’s been minimization. You are going to write a letter to be published in the Clovis newspaper. …It better be a real strong confessional. It better say, ‘I am a liar. I am a thief. I betrayed my friends. I betrayed the United States.’” The Judge himself noted that this component of the sentence was unusual and probably illegal under federal law. No appeal has been filed regarding the sentence, so be on the lookout for a very interesting letter in an upcoming edition of the Clovis News Journal.
Ms. Oh. As previously reported here, attorney Sandy Oh pled guilty to conspiracy to commit bank fraud and money laundering in connection with her role in a $100 million fraud involving an SBA loan guarantee program.
Ms. Oh was sentenced on July 9, 2013. Ms. Oh was sentenced to 51 months in prison, supervised release for three years, and restitution of $3,593,432. Prior to Ms. Oh’s sentence, the co-owner of the loan brokerage firm received a significant sentence of 15 years in prison and a $90 million judgment. Four other individuals have been sentenced, with ranges from one year to three years, and large forfeiture amounts.
Brian Stolarz is the attorney responsible for the content of this article.
© Jackson Kelly 2013