INDICTED: Grand jury hands down 16-count indictment for father & son in “multi-faceted” fraud
PEWAUKEE (WITI) — United States Attorney James Santelle of the Eastern District of Wisconsin announced that on Tuesday, October 7th, 2014, the grand jury returned a sixteen count indictment charging 57-year-old Todd Brunner and 24-year-old Shawn Brunner, both of Pewaukee with bank fraud, false declarations and oaths, and concealing assets in bankruptcy.
Todd Brunner is charged in counts one through eight of the indictment, which allege that he submitted false documents in support of draw requests from a construction loan funded by First Business Bank of Milwaukee.
Counts nine through eleven allege Todd Brunner transferred the ownership of assets, including real estate, motor vehicles, and boats to his son, Shawn Brunner, and to shell companies in order to shield them from his creditors.
Count twelve alleges that Todd Brunner concealed boat engines, superchargers and gauges from the bankruptcy court and his creditors during bankruptcy proceedings. Counts thirteen and fourteen allege that Todd Brunner made materially false declarations and verifications under penalty of perjury in his bankruptcy proceedings. Count fifteen alleges that Todd Brunner made a false oath and account at a creditor meeting in bankruptcy. Shawn Brunner is charged with bank fraud along with his father in counts nine through eleven, and separately, in count sixteen, with a false account and oath at a bankruptcy proceeding.
“The nature and scope of the charges issued by the grand jury reflect the substance and the breadth of the criminal conduct in which the defendant allegedly engaged—including bank fraud, the concealment of assets, and the making of false statements in the context of bankruptcy proceedings. These behaviors not only compromise the strength of our financial institutions and banking systems but also undermine the legitimate and important processes of the United States Bankruptcy Court,” Santelle said.
Santelle specially commended the Federal Bureau of Investigation, the Internal Revenue Service, the Department of Housing and Urban Development, and the Milwaukee Police Department for “their partnered, focused, and effective investigation of this multi-faceted fraud.”
If convicted of the bank fraud counts, each defendant faces up to 30 years in prison, a $1,000,000 fine, and up to five years supervised release for each count. If convicted of the false declarations and oaths and concealment in bankruptcy, each defendant faces up to five years in prison, a $250,000 fine, and up to three years of supervised release on each count.