From Deseret News archives:
Con man ordered held, pending fed fraud trial
During a hearing Wednesday, a federal prosecutor said there was also evidence that Wayne Reed Ogden was using money from recent investors to pay some $7 million in restitution to his old investment victims.
Ogden was convicted in 1998 of bilking 500 investors, mostly friends and neighbors, of an estimated $7 million in a Ponzi scheme. He was sentenced to up to 15 years in prison.
But after his first parole in November 2000, U.S. District Magistrate Judge Brooke Wells noted Ogden had a "complicated" history of being paroled and hauled back in twice for parole violations. In between, Ogden was accused of misconduct.
The prosecution called an FBI agent and Ogden's former state parole officer as witnesses.
Parole officer Paul Truelson said that after Ogden was paroled in 2000, he was instructed to get a job that did not involve handling other people's money.
It wasn't until later that parole officers discovered Ogden's employment papers were bogus.
FBI special agent Jeffrey Cannon said his office discovered Ogden and his brother were involved in a credit counseling company, where Ogden again began soliciting investors to purchase property in Colorado. After getting several million dollars, investors soon began expecting the 50- to 100-percent returns that Ogden had promised them. Frustrated investors filed suits against Ogden, suing him for $9 million.
Ogden's defense attorney, Mary Corporon, said her client claims there was even a kidnapping incident by disgruntled investors.
Assistant U.S. Attorney Loren Washburn said while Ogden was working up another Ponzi scheme, he was taking money from recent investors and using it to pay off the $7 million in restitution he was ordered to pay the victims of his old scam.
"He's stealing from new victims in order to pay restitution," Washburn said in court.
Corporon responded that before his previous conviction, Ogden had no prior criminal record and that he has always had a history of showing up to court for hearings.
After hearing arguments from both sides, Wells said she did not find Ogden to be a flight risk but did find that he is a danger to the community. Although Ogden is not accused of violence or drugs, Wells did note that he has proven he is not willing to follow court orders while on parole and could prove a danger to people in the community and their money.
Ogden faces several counts of mail fraud and wire fraud. If convicted, he faces up to 20 years in federal prison.
E-mail: gfattah@desnews.com
Recent comments
At least he is more smarter than the "investors".
Ken Goddard | Dec. 28, 2007 at 5:37 p.m.
- Police release holiday safety 3:15 p.m.
- GM CEO Henderson resigns 3:15 p.m.
- Stocks climb after econ reports 3:14 p.m.
- Sweet treats 3:10 p.m.
- McCoy to resign from Utah Senate 3:00 p.m.
- Deseret News Ms. Volleyball 2009 2:30 p.m.
- Bridal magazines feel squeeze 2:25 p.m.
- Hepburn's gowns up for auction 2:22 p.m.
- Philbin has hip replacement 2:18 p.m.
- Judge keeps ban on Lopez video 2:15 p.m.
- 2 citations issued at Y.-U. game
- BYU says Hall incident resolved
- Max Hall: a fixture in rivalry lore
- Mitchell called intelligent, controlling
- Hall reprimanded by MWC
- 'Grandfamilies' a growing trend
- Utes won't respond to Hall
- Daughter: Mitchell fed me my pet
- Hall's pain reflects self-betrayal
- MWC '09 season in review
- Hall mouths off about hate of Utah
900 - Cougars beat Utes in overtime
482 - Hall reprimanded by MWC
397 - Max Hall issues apology
386 - Hall's pain reflects self-betrayal
337 - Utes won't respond to Hall
271 - BYU says Hall incident resolved
192 - BYU is champion of the state
141 - 2 citations issued at Y.-U. game
140 - Man trapped in Nutty Putty cave dies
125
Associated Press writer Michael Liedtke has complied a gift list of...
My husband was teaching his 6th-grade class in Salt Lake last year when...
We know who is also going there to with our 30,000 troops. As detailed here,...
TO: Just A Thought. It is mostly not the fault of the Grandparents that...
They should have never gotten rid of Willingham. He didn't have the chance...
As a member of the LDS church you should know that BYU does not spend money...
There were not a lot many problems because it was in LES. Now when it goes...
'That number can't be debated, it's true and fact.' - 2:03 p.m. Uh, guy....
Proove it. Because reports from the field as it happened were exactly the...
That would be AWESOME! Put the Palin as president becuase the she is much...
I'm amazed at the number of people who claim the church is hiding something...
To the 11:39 commentator, Taking the phone of another person is ILLEGAL,...

