A 78-year-old Hamilton man has been sentenced to five years of probation and ordered to pay $722,808 restitution for defrauding investors in Hamilton and Billings of more than $700,000, according to the U.S. Attorney’s Office.
The defendant, Richard William Brooks, pleaded guilty in January to wire fraud after admitting to devising a years-long scheme that targeted individuals in the area, claiming he was waiting on a large inheritance and needed their help to pay legal and court costs in exchange for a significant premium.
Under the terms of a plea agreement, the government requested a probationary sentence, citing Brooks’ available disposable income and recommending an aggressive payment schedule for restitution. U.S. District Judge Susan P. Watters presided over the case, ordering Brooks to pay $722,808 restitution at the rate of $3,000 per month to two victims.
The government alleged that Brooks orchestrated the scheme as far back as 2016, using third parties as intermediaries and claiming that his daughter-in-law was scheduled to receive a large inheritance. Brooks deceived multiple victims, assuring them that if they provided him with money on an expedited timeline, he would return their funds in addition to a premium of between 25 percent and 100 percent.
When pressed by his victims about non-payment or supporting documentation, Brooks demurred or lied again, claiming that the inheritance was under seal and that he was unable to provide any documentation. Brooks’ scheme lasted for years, with law enforcement interviewing him in February 2021. Brooks contended that he intended to pay back the money, but never did, and claimed to have documentation to support his theory that the funds were temporary loans.
However, when law enforcement followed up for the documentation, Brooks ended the communication and never provided any materials to support his position. Brooks’ actions had devastating consequences for his victims, with one telling the court that he lost his business of 10 years and his life savings, while another was subjected to threatening phone calls, displaced from her home and forced to sell treasured antiques to survive.
Assistant U.S. Attorney Zeno B. Baucus prosecuted the case, with the FBI conducting the investigation. Brooks’ sentence is a stark reminder of the consequences of his actions, and serves as a warning to others who may be tempted to engage in similar schemes.
The case highlights the importance of being cautious when dealing with unsolicited investment opportunities, and the need for victims to come forward and report suspicious activity to the authorities. As one victim so aptly put it, “He did more than steal our money. He stole our peace.”
Richard William Brooks, 78, of Hamilton, was sentenced to 5 years of probation and ordered to pay $722,808 restitution for wire fraud.
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Key Facts
- State: Montana
- Agency: DOJ USAO
- Category: White Collar Crime
- Source: Official Source ↗
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