Thursday, 30 March 2017
Last updated 4 hours ago
Nov 3 2014 | 9:02am ET
Two Ohio men were sentenced to prison on Thursday for selling investors on fake hedge funds.
Bradford Huebner received more than seven years in prison and Charles Emmenecker ust under three. Both were convicted in May of fraud; Huebner was also found guilty of evading reporting requirements and money laundering.
The two men were accused of defrauding investors into buying $23.8 million in Iraqi dinar. But their scam also included a hedge-fund component, convincing clients to invest $750,000 in hedge funds that didn’t exist.
The two men worked with Rudolph Coenen, who pleaded guilty last year. Their lawyers sought to pin the blame on Coenen, whom Huebner’s lawyer called “the guy who told the lies, and he made them up long before he ever heard of Brad Huebner.”
The judge was not impressed, calling Huebner “a scammer who got scammed himself.” Coenen was sentenced to more than five years in prison in September.
“I will be the first to tell you that I am guilty of trusting people too much—to a fault,” Huebner said. He also insisted that his investors’ bets on the dinar would pay off in the long run.
“You indicated today that you are still excited for all the investors,” U.S. District Judge Jack Zouhary said. “Don’t be excited. Be saddened.”