Judge tosses $100M fraud case against Alpine businessman Rick Koerber
Stuart Johnson, Deseret News
SALT LAKE CITY — A federal judge Thursday dismissed a long-running $100 million fraud case against Alpine businessman Claud R. "Rick" Koerber.
U.S. District Judge Clark Waddoups ruled that government prosecutors violated the Speedy Trial Act and engaged in a "pattern of widespread and continuous misconduct" in prosecuting Koerber.
Waddoups found "most egregiously" that prosecutors violated Koerber's due process rights with their "tactic of illegally planning and conducting impermissible" interviews with him in February 2009, even though he had an attorney at the time. The judge earlier tossed out any evidence the government obtained in the interviews.
Koerber's attorney Marcus Mumford said he was pleased with the judge's ruling.
Waddoups dismissed the case with prejudice, meaning prosecutors can't refile the charges. The government can appeal the ruling to the 10th Circuit Court of Appeals.
Prosecutors charged Koerber in May 2009 with mail fraud, wire fraud, fraud in the offer and sale of securities, sale of unregistered securities, money laundering and tax evasion. The charges stemmed from an investment scheme they say Koerber operated from 2004 through 2008 that led to the loss of $100 million in investors' money.
— Dennis Romboy
- For his brothers: American Fork family with 4...
- LDS Church releases renderings of final Provo...
- University of Utah student in critical...
- Provo man killed brother-in-law in...
- Q&A with President Henry B. Eyring, Elder L....
- Utah man who founded first KFC dies at 95
- Teen in Springville family found dead left...
- Utah members of Congress slam Obama's...
- Romney, Lee take to the airwaves to... 63
- Sen. Mike Lee: Congress needs to remind... 55
- America needs heroes, Mitt Romney tells... 55
- Utah members of Congress slam Obama's... 51
- Woman wears colander for driver's... 35
- Pope announces U.S. visit, greets... 34
- Former presidential candidate Mitt... 32
- Utah business leaders say Congress must... 27