Amish Man Admits to a $17 Million Fraud

Excerpt from an article in

The New York Times

Friday, March 16, 2012

Amish Man Admits to a $17 Million Fraud

By THE ASSOCIATED PRESS

YOUNGSTOWN, Ohio (AP) — As members of his community watched quietly in court, an Ohio man admitted Thursday that he had defrauded fellow Amish in 29 states out of nearly $17 million.

The suspect, Monroe L. Beachy, 77, of Sugarcreek, changed his plea to guilty in United States District Court before Judge Benita Y. Pearson. She ordered a presentence report and scheduled sentencing for May 24.

A one-count mail fraud indictment returned last year charged Mr. Beachy with promising investors safe securities but moving money to riskier investments.

The indictment says nearly 2,700 people and entities, including an Amish community loan fund, lost about $16.8 million since 2006. Mr. Beachy’s company has filed for bankruptcy protection.

The charge carries a maximum 20-year sentence, but under federal sentencing guidelines, Mr. Beachy is likely to face 12 to 15 years. The government has not indicated what sentence recommendation it might make to the judge, a spokesman for the United States attorney’s office, Mike Tobin, said.