Bemidji Man Pleads Guilty to Wire Fraud
|U.S. Attorney’s Office October 02, 2012|
MINNEAPOLIS—Yesterday in federal court, a 43-year-old Bemidji man pleaded guilty to wire fraud. Edward C. Detwiler pleaded guilty to one count of conspiracy to commit wire fraud. Detwiler, who was indicted on January 10, 2012, entered his plea before United States District Judge John R. Tunheim.
In his plea agreement, Detwiler admitted that between January 19, 2007 and March 1, 2007, he devised a scheme to fraudulently obtain money. Detwiler participated in the purchase of a property in Florida financed by mortgage loans in which he received a secret refund from the sale price of approximately $194,600. He did not disclose the refund to the lender financing the transaction. Detwiler then wired the $194,600 from an account in Florida to an account in Minnesota on January 26, 2007. He further admitted that he engaged in a scheme to defraud mortgage lenders and conceal information from them regarding the sale and financing of property in and around Bemidji, Minnesota. That scheme included the payment of undisclosed kickbacks to property buyers, as well as the undisclosed paying and subsidizing of buyers’ down payments. The total loss resulting from Detwiler’s scheme is $743,698.70.
For his offense, Detwiler faces a potential maximum penalty of 20 years in prison, as well as possible fines and forfeitures. Judge Tunheim will determine his sentence at a future hearing, not yet scheduled.
This case is the result of an investigation by the Federal Bureau of Investigation. It is being prosecuted by Assistant United States Attorney Robert M. Lewis.