NORFOLK, Va. (WAVY) — Former Monarch Mortgage CEO Edward ‘Ted’ Yoder was sentenced to two years in prison Wednesday in a bankruptcy fraud case.
Yoder was also ordered to pay $364,660 in criminal restitution.
Yoder’s attorney says, given the circumstances, they are happy with the sentencing. Both the prosecution and defense spoke in court and described the situation as a “sad occasion.”
Court documents filed last June said Yoder devised a scheme in 2012 to defraud his creditors of $339,660.
Prosecutors say Yoder had 133,000 shares of stock in Sirius XM Radio, which he “discreetly” sold for about $350,000 while going through bankruptcy proceedings in 2012. Yoder didn’t disclose the sale of the stock.
On the same day of the stock sale, Yoder wired $350,000 to his Monarch bank account and then transferred the same amount of money to girlfriend and co-conspirator Susan Spearman’s account.
Spearman then reportedly transferred the funds back to Yoder’s accounts. She pleaded guilty to a federal bankruptcy charge in May 2016.
The prosecution said Yoder’s actions ruined his girlfriend’s life.
Yoder’s attorney, Richard Doummar, argued that Yoder had a very limited criminal history before this, and after his cancer diagnosis, his life spiraled downward.
“Hopefully in 21 months, he will dig himself out and become prosperous again,” Doummar said.
Yoder addressed the court, apologizing for using their time and resources. He says he takes full responsibility for what happened.
Doummar did ask for his client to be able to self-report, but the judge ordered Yoder straight to jail from the courtroom.
“The judge thought it was best with the sentence which was, by the way, below the guidelines,” said Doummar. “That it was best that he start his time now, and we were prepared for that and expecting that.”
Spearman was sentenced to one year of probation and was ordered to pay $100 in restitution.