Sac City Bank Employee Pleads Guilty to $4 Million Fraud

United States Attorney Matt M. Dummermuth announced today that a woman who defrauded victims out of at least $4 million pled guilty today in federal court in Sioux City.

CHARLENE MARIE PICKHINKE, 48, from Sac City, Iowa, was convicted of one count each of wire fraud, making a false statement in a bank’s books and records, money laundering, and aggravated identity theft.

In a plea agreement, PICKHINKE admitted that, from 1995 and until 2008, while employed at a Sac City Bank, she sold more than 40 fraudulent certificates of deposit (“CDs”) to unknowing victims. PICKHINKE admitted she fraudulently claimed she was selling CDs on behalf of the bank where she worked. PICKHINKE also admitted she fraudulently opened two bank accounts using the names and Social Security numbers of deceased bank customers. PICKHINKE admitted she used these bank accounts to launder proceeds from the fraudulent scheme. PICKHINKE admitted she defrauded her victims out of at least $4 million.

Sentencing before United States District Court Judge Mark W. Bennett will be set after a presentence report is prepared. PICKHINKE remains free on bond pending sentencing. PICKHINKE faces a possible maximum sentence of 82 years’ imprisonment, a fine of approximately $8 million, $400 in special assessments, and 5 years of supervised release following any imprisonment.

The case is being prosecuted by Assistant United States Attorney Sean R. Berry and was investigated by the Federal Bureau of Investigation.