From Deseret News archives:
Ogden man pleads guilty in $140 million-plus fraud
In 3rd District Court, Val Southwick spoke in a steady voice as he answered each of the nine securities-fraud charges against him. Investigators say he swindled more than $140 million from at least 800 investors.
His guilty pleas were part of a deal with the state. Southwick also agreed to work with the Securities and Exchange Commission to repay the victims.
Judge Robin Reese has set a June 2 hearing to discuss with federal authorities how the repayment process is unfolding. Southwick faces up to 15 years in prison on each count.
In a Ponzi scheme, money from new investors is used to pay earlier investors.
Authorities said Southwick, 62, promised high returns on commercial real estate investments. They said he traded on his membership in The Church of Jesus Christ of Latter-day Saints to gain investors' trust.
Southwick was accused of using money from investors to pay for his home mortgage, massages, vacations and church tithe.
Investor Emma Marroguin confronted him outside court and asked, "How can you sleep at night? ... You will go to hell."
"I'm cooperating with the SEC. You'll have to direct your questions to them," Southwick said when asked whether he had money to repay investors.
Recent comments
The poor Deseret News comment board censor must have died from...
Don't die of Karoshi! | June 16, 2008 at 1:48 p.m.
$140,000,000
How do you place a "just" value on the worth
of a...
Justice??????? | April 2, 2008 at 2:20 a.m.
thy praises I sing...thou art my savior, my lord, and my king. Tis...
Oh Money, Oh Money... | April 1, 2008 at 11:00 p.m.
- Obama's hesitancy sends messages 10:41 p.m.
- 3A: Juan Diego runs away with win 10:35 p.m.
- 3A: Juan Diego grinds out win 10:33 p.m.
- BYU basketball women at a glance 10:25 p.m.
- Cougar women's home improvement 10:22 p.m.
- Deal reached on 'balloon boy' 10:18 p.m.
- U. women's 10:17 p.m.
- Whipple should ease growing pains 10:14 p.m.
- RSL plans to attack early, often 10:13 p.m.
- Palin: Aides kept her 'bottled up' 10:12 p.m.
- House passes health care bill
335 - SLC council OKs gay rights policies
318 - TCU showdown has big implications
195 - Senators want food tax restored
158 - Cougars crush hapless Cowboys
155 - Editorial: Mormons and gay rights
141 - Will state consider gay rights law?
137 - Utah Jazz fall apart against Kings
131 - Letters: Strange breed in Utah
119 - TCU 4th in AP poll; U. 16th, Y. 22nd
119
One of my guilty pleasures is perusing the covers of celebrity magazines...
The galactic center shines like firelight through gaps in …
I won't quite say "outstanding", not yet anyway. They have not played any...
The Utes are not the same team as they were last year. I am ecstatic over...
Rex was great. Perhaps in 20 years we will see about Mike.
congrats to both teams, great seasons and it means a lot to make it to the...
I believe it is Jason and Lacy (not Josh and Lily).
I have never seen a more arrogant player on a BYU team than JT. Last year at...
Congratulations Karlee from all your Greek friends. We are so proud of you !
"I don't like to pay my bills on time. I still pay them- just a few weeks...
Great job Dixie!! You represented Region 9 in great fashion. We are all...
1. With the same core players this team has consistently gotten worse. The...


