A & M Investment mail fraud case scheduled for trial
A trial date has been set in U.S. District Court for a Sugarcreek man who allegedly used the mail to defraud investors in his finance company.
A charge of mail fraud brought against A & M Investments owner Monroe Beachy is scheduled for trial Jan. 3, 2012, in U.S. District Court, Northern District of Ohio. Beachy was arraigned on the charge in a Youngstown federal courtroom Oct. 27.
Beachy signed a note promising to pay a penalty of $50,000 if he fails to appear for additional court proceedings. In her notes on the arraignment, Judge Benita Y. Pearson writes that pretrial conferences will be held on an “as needed” basis.
Beachy did not plea Oct. 27 and Pearson entered a not guilty plea on his behalf. Pearson appointed Youngstown Attorney J. Gerald Ingram to defend Beachy.
According to court documents, Beachy is charged with allegedly using the mail to further a fraudulent scheme perpetrated on 2,698 investors from Oct. 1, 2006 to June 2010. Beachy claimed A & M’s holdings stood at $33 million, when in fact they stood at approximately $17 million. He made mailings to investors that carried the false claims that A & M Investments was making a consistent profit in “safe,” government backed securities, according to the indictment. The indictment reads that Beachy “provided his clients or investors with monthly statements showing interest earned and the account balance” through the mail. The statements led “investors to believe they were earning interest and had an account balance that was overinflated compared to the actual assets of A & M Investments.”
Beachy had actually placed the money into riskier investments, including Internet stocks, shortly before the “dot.com bust” in the stock market, according to court records.
The majority of investors were of the Amish and Mennonite faiths. The investors included children.
Beachy filed for bankruptcy June 30, 2010. The case is still being processed through U.S. Bankruptcy courts.
Beachy was further investigated by the U.S. Securities and Exchange Commission (SEC) who placed him under an injunction barring him from practicing as a financial agent in any capacity.
Beachy faces up to 20 years in prison if convicted of the mail fraud charge.
A charge of mail fraud brought against A & M Investments owner Monroe Beachy is scheduled for trial Jan. 3, 2012, in U.S. District Court, Northern District of Ohio. Beachy was arraigned on the charge in a Youngstown federal courtroom Oct. 27.
Beachy signed a note promising to pay a penalty of $50,000 if he fails to appear for additional court proceedings. In her notes on the arraignment, Judge Benita Y. Pearson writes that pretrial conferences will be held on an “as needed” basis.
Beachy did not plea Oct. 27 and Pearson entered a not guilty plea on his behalf. Pearson appointed Youngstown Attorney J. Gerald Ingram to defend Beachy.
According to court documents, Beachy is charged with allegedly using the mail to further a fraudulent scheme perpetrated on 2,698 investors from Oct. 1, 2006 to June 2010. Beachy claimed A & M’s holdings stood at $33 million, when in fact they stood at approximately $17 million. He made mailings to investors that carried the false claims that A & M Investments was making a consistent profit in “safe,” government backed securities, according to the indictment. The indictment reads that Beachy “provided his clients or investors with monthly statements showing interest earned and the account balance” through the mail. The statements led “investors to believe they were earning interest and had an account balance that was overinflated compared to the actual assets of A & M Investments.”
Beachy had actually placed the money into riskier investments, including Internet stocks, shortly before the “dot.com bust” in the stock market, according to court records.
The majority of investors were of the Amish and Mennonite faiths. The investors included children.
Beachy filed for bankruptcy June 30, 2010. The case is still being processed through U.S. Bankruptcy courts.
Beachy was further investigated by the U.S. Securities and Exchange Commission (SEC) who placed him under an injunction barring him from practicing as a financial agent in any capacity.
Beachy faces up to 20 years in prison if convicted of the mail fraud charge.
Published: October 31, 2011
