Criminal Justice News

Thursday, June 14, 2012

Barren County Financial Advisor Charged with Embezzling Approximately $2.4 Million from Clients

BOWLING GREEN, KY—A Barren County, Kentucky financial advisor has been indicted by a federal grand jury meeting in Bowling Green on charges of defrauding clients residing in Kentucky and southern Indiana of approximately $2.4 million, announced David J. Hale, United States Attorney for the Western District of Kentucky.

Jonathan Neal Leber, 36, of Glasgow, is charged in a one-count indictment with devising a scheme to defraud and to obtain money and property by means of false and fraudulent pretenses, representations, and promises from individuals who were clients of the defendant’s financial advisement business, Intrepid Financial Strategies Inc.

According to the indictment, between August 1, 2007 and January 14, 2011, Leber would allegedly promise to invest clients’ money in bonds and tax lien certificates paying returns between 4 and 6 percent; reinvest clients’ IRA accounts in to qualified “rollover” investment accounts paying higher rates of return and would not result in fees or cause tax liabilities; and invest client money in stocks, bonds, annuities, and a Styrofoam recycling business. The indictment states that Leber never intended to make the investments that were represented to the clients and instead intended to and did expend these monies for his personal benefit and gain and for the benefit and gain of a personal business venture—Cedar Ridge Shooting Ride Academy LLC—that Leber formed, owned, and operated.

Leber was previously indicted in Bullitt Circuit Court on three felony counts of forgery and received a probated sentence after entering a guilty plea on all counts. He is currently awaiting sentencing in Jefferson Circuit Court after pleading guilty to fraud charges.

If convicted of the federal charge, Leber faces no more than 20 years in prison, a fine of $500,000, and a three-year term of supervised release.

This case is being prosecuted by Assistant United States Attorney Jim Lesousky and was investigated by the Federal Bureau of Investigation.

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The indictment of a person by a grand jury is an accusation only and that person is presumed innocent until and unless proven guilty.

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