October 18, 2008
Three get prison in cattle scheme
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BECKLEY, W.Va. - A Greenbrier County man who swindled multiple farmers out of hundreds of thousands of dollars in a phantom cattle scheme was sentenced to more than eight years in prison in federal court today.

Kevin Scott O'Brien must also pay $3.43 million in restitution to the farmers and banks involved in the scheme.

Two former First National Bank of Ronceverte officials who were involved in a bribe from O'Brien also received short prison terms.

U.S. District Judge Thomas E. Johnston sentenced Charles Henthorn, the bank's former president, to nine months in prison and G. Thomas Garten, a former bank board member, to five months in prison. Johnston also fined Garten $50,000 and Henthorn $75,000.

O'Brien pleaded guilty to mail fraud in February, admitting that he sold the same group of cattle to multiple buyers in a kind of livestock-based ponzi scheme.

During O'Brien's sentencing hearing, Karin Nelson, owner of a 155-acre farm in Monroe County, described how she met O'Brien in 2003 when he inquired about renting one of her pastures.

"He also offered me the opportunity to enter into a cattle contract for much more profit," she said. "I unknowingly became involved in Mr. O'Brien's criminal scheme."

Nelson estimated that she has lost more than $500,000 through her association with O'Brien.

Nelson, a single mother of three, said her sons have been humiliated and she has had trouble sleeping because of her shame, anger, pain and anguish over being duped by O'Brien.

Assistant U.S. Attorney Anna Forbes said another victim couldn't make the six-hour drive from Indiana to attend the hearing. A third victim was unable to attend because he was meeting with a real estate agent to make arrangements to sell his farm, she said.

O'Brien did not make a statement during his sentencing hearing. His attorney, Rodney Smith, said that O'Brien made some foolish mistakes that harmed others.

"He's remorseful for that, and he wanted me to extend his apologies," Smith said.

Forbes emphasized the financial impact of O'Brien's schemes.

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Posted By: dakman (2:49pm 10-18-2008)
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Great job, Anna Forbes!!

Posted By: cannonball8pd (2:59am 10-18-2008)
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O'BRIEN DID'NT DO ANYMORE OR LESS THAN CEO'S OF WALL ST. FIRMS DO ON A DAILY BASES AND THEY DON'T GO TO JAIL,WONDER HOW MANY STUFFED ENVELOPES PASS ACROSS DESKS ON WALL ST.?

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