Declaring that J. Gary Sheets lied to investors and withheld facts from them, a government attorney launched her stinging closing arguments in the Sheets trial Monday.
Assistant U.S. Attorney Tena Campbell began her address of 12-member jury with, "Do you remember last week when Marie Osmond came back to testify? . . . She told you, she said this: `You know Gary. He has a way with words." `He told me to do what he said. He said to trust him. He said he would take care of me.' "
Campbell said that in one way or another, this was the testimony of every investor called by the government in Sheets' trial on 34 counts of fraud and theft. The trial is ending before U.S. District Judge David Sam.
The defense was scheduled to present its closing arguments following the prosecution.
Sheets "convinced them that he could be trusted. And that was how Gary Sheets defrauded his investors, because he used and abused that trust," Campbell said.
The prosecutor quoted defense lawyer Peter Stirba, who had said that when an investment goes right investors claim it, and when it fails, they blame somebody else. But Campbell said this case is not about losing money, contrary to Stirba.
"It's about telling the truth. Because that's what the defendant did not do. He did not tell the truth to investors," she said.
She quoted a witness who had accompanied Sheets on a trip to visit a young surgeon in Nevada. The surgeon was making about half a million dollars a year, and the witness wanted to see Sheets' sales technique.
But when the would-be investor began asking many detailed questions about Sheets' CFS company performance and other crucial factors, Sheets became irate. Campbell quoted the witness as saying Sheets told the surgeon that if he was going to ask many questions, Sheets didn't want him as an investor.
She claimed that Sheets lied to the jury during his testimony. Sheets told jurors that he wrote a sales pitch, then basically stuck to it in his contacts.