Investment Advisor Pleads Guilty To Defrauding Client Of More Than $800,000

COEUR D'ALENE - JoAnn Jackson, 63, of Coeur d'Alene, Idaho, pleaded guilty yesterday to two counts of wire fraud for misappropriating more than $800,000 from a client’s account, U.S. Attorney Wendy J. Olson announced. Jackson, an investment advisor, was indicted by a federal grand Jury in Coeur d'Alene on August 19, 2014.

According to the plea agreement, Jackson admitted that in 1994, she became a licensed stock broker in Idaho. Early in her career, Jackson came into contact with the victim, who eventually put all of her investment accounts under Jackson’s care. Jackson developed a scheme to misappropriate the victim’s money by transferring the funds from the victim’s account into other accounts, eventually obtaining the benefit of the money. Jackson has agreed to make restitution in the amount of $811,084.32.

The charge of wire fraud is punishable by up to 20 years in prison, a maximum fine of $250,000.00 or twice the value of the money stolen, and up to three years of supervised release.

Sentencing is set for February 3, 2015, before U.S. District Judge Edward J. Lodge at the federal courthouse in Coeur d'Alene.

The case was investigated by Federal Bureau of Investigation (FBI).

Today's announcement is part of efforts underway by President Obama's Financial Fraud Enforcement Task Force (FFETF), which was created in November 2009 to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes. With more than 20 federal agencies, 94 U.S. attorneys’ offices and state and local partners, it’s the broadest coalition of law enforcement, investigatory and regulatory agencies ever assembled to combat fraud. Since its formation, the task force has made great strides in facilitating increased investigation and prosecution of financial crimes; enhancing coordination and cooperation among federal, state and local authorities; addressing discrimination in the lending and financial markets and conducting outreach to the public, victims, financial institutions and other organizations. Over the past three fiscal years, the Justice Department has filed more than 10,000 financial fraud cases against nearly 15,000 defendants including more than 2,700 mortgage fraud defendants. For more information on the task force, visit www.stopfraud.gov.