Post by Logan on Feb 14, 2016 7:18:47 GMT -6
SEATTLE — A man whose unauthorized use of his clients' money prompted changes in Washington state law has been sentenced to four years in prison — even more than federal prosecutors asked for.
David Richard Dance, of Hayden, Idaho, formerly ran a Bellevue, Washington, business known as an "exchange facilitator." He held money for people who had sold investment properties until they reinvested that money in other properties — a practice that allowed them to postpone paying taxes on the sales.
In 2011, without permission, Dance invested clients' money in what he thought were development projects, including a golf course. He received payments totaling $150,000 from the purported developer for doing so, prosecutors said.
But Dance himself wound up being defrauded, and rather than report the crime to authorities, he turned his business into a Ponzi scheme in an ill-advised effort to cover up the losses and repay his clients.
Read more: www.oregonlive.com/pacific-northwest-news/index.ssf/2016/02/man_whose_fraud_case_prompted.html
David Richard Dance, of Hayden, Idaho, formerly ran a Bellevue, Washington, business known as an "exchange facilitator." He held money for people who had sold investment properties until they reinvested that money in other properties — a practice that allowed them to postpone paying taxes on the sales.
In 2011, without permission, Dance invested clients' money in what he thought were development projects, including a golf course. He received payments totaling $150,000 from the purported developer for doing so, prosecutors said.
But Dance himself wound up being defrauded, and rather than report the crime to authorities, he turned his business into a Ponzi scheme in an ill-advised effort to cover up the losses and repay his clients.
Read more: www.oregonlive.com/pacific-northwest-news/index.ssf/2016/02/man_whose_fraud_case_prompted.html