Friday, November 5, 2010

Pastor Guilty Of Securities Fraud

Indiana: A Gibson County jury Thursday found a former pastor guilty on nine of 10 counts of defrauding hundreds of investors out of millions of dollars.

The jury found Vaughn A. Reeves Sr., former owner of Sullivan-based Alanar Inc., guilty on all but one count of securities fraud.

Reeves, 66, operated Alanar Inc. with his three sons. The sons are set to stand trial next year.

Read More: Vaughn A. Reeves Sr

The charges allege the men duped about 11,000 people into buying bonds that raised at least $120 million for church construction projects. Investigators say the men shuffled invested money among various accounts and stole about $6 million for themselves in the process.

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