Texas Megachurch pastor indicted for wire fraud and money laundering, accused of stealing millions from congregation
The head pastor of Windsor Village United Methodist Church, a 14,000-member megachurch in Houston, Texas, has been indicted for wire fraud and money laundering. He's also accused of stealing millions from his congregation.
Pastor Kirbyjon Caldwell, 64, a longtime spiritual adviser to ex-President George W. Bush was
on Thursday indicted in federal court on claims that he sold more than
$1 million in worthless Chinese bonds to vulnerable and elderly
investors, some of whom lost their life savings to the alleged scheme,
The Washington Post reports.
Prosecutors said in a news release, that the federal grand jury in Shreveport, La., returned a 13-count indictment accusing the Rev. Kirbyjon H. Caldwell and financial planner Gregory Alan Smith of wire fraud, money laundering, and conspiracy.
The two men were also sued by the Securities and Exchange Commission
in the same federal court on allegations that they violated financial
laws.
According to court documents, Caldwell and 55-year-old Gregory raised
nearly $3.4 million through a Chinese bond scheme to defraud
approximately 29 investors from April 2013 to August 2014.
The two allegedly promised high rates of return sometimes up to 15 times the value.
Prosecutors said Caldwell used his influence as the pastor of the
16,000-member Village United Methodist Church to dupe investors into
buying historical Chinese bonds issued decades ago.
Caldwell and Smith, who operates a Shreveport-based financial
management firm, allegedly promised investors sky-high returns sometimes
15 times what they invested assuring them all along that they could be
later sold for tens of millions of dollars.
In a statement by U.S. Attorney Alexander C. Van Hook, he said: “These bonds were issued by the former Republic of China prior
to losing power to the communist government in 1949. They are not
recognized by China’s current government and have no investment value.”
In the court documents from the SEC, it was alleged that Caldwell and
Smith lured in 29 investors, most of them vulnerable and elderly,
telling some they stood to rake in exorbitant returns in a matter of
weeks.
Caldwell and Smith each face up to 20 years in prison on the wire
fraud counts and 10 years for the money laundering counts. If found
guilty, they also face a $1 million fine, restitution, forfeiture and
five years of supervised release.
Source: The Washington Post
No comments
Your comments and Encouragement are welcome