Grand Rapids Pair Indicted in African Gold Scam

GRAND RAPIDS, MI—Ryan Steensma, 38, of Grand Rapids, and Stephanie Prickett, 30, formerly of Grand Rapids, have been indicted on charges of wire fraud and money laundering, U.S. Attorney Donald A. Davis announced today. Steensma and Prickett are named in two wire fraud charges, each alleging that, operating under the corporate name Redline 22, among others, they defrauded investors of approximately $1,000,000 in connection with a fictitious gold mining operation in Africa. Steensma is also named in two money laundering charges, which allege that he used some of this fraudulently-obtained money to buy luxury automobiles or to placate earlier investors.

The maximum penalty for wire fraud and money laundering is 20 years’ incarceration. Conviction on any of the charges could also result in the assessment of a fine of twice the gross gain to the defendants or twice the gross loss to the victim.

This investigation was conducted by the Grand Rapids Offices of the Federal Bureau of Investigation and the Internal Revenue Service. Prosecution of the case has been assigned to Assistant U.S. Attorney Timothy VerHey.

The case has been assigned to U.S. District Judge Robert J. Jonker. Arraignment dates for both defendants have yet to be set. The charges against the defendants are only allegations. They are presumed innocent until and unless proven guilty in a court of law.