Oil Swindle: Harley Gets 12 Years, Appeal Fails

HARRISBURG, PA – Richard J. Harley, 73, of Shawnee on the Delaware, is heading back to prison. The U.S. Court of Appeals for the Third Circuit just slammed the door on his attempt to overturn his 12-year sentence for a brazen investment fraud scheme. Harley was initially sentenced in November 2015 by United States District Court Judge A. Richard Caputo, following a two-week jury trial in December 2014.

The scheme was classic con artistry. According to United States Attorney Bruce D. Brandler, Harley preyed on investors with claims that his company, RJH and Co. Inc., controlled a staggering 10 million barrels of oil in Texas – valued at over $1 billion. He further lied about possessing “unrestricted bond power” over billions of dollars supposedly held at the Federal Reserve Bank of New York. The whole thing was a house of cards, and investors were left holding the bag to the tune of approximately $323,800.

But the lies didn’t stop there. Harley attempted to deposit two completely fabricated $500 million checks, allegedly issued by the Federal Reserve Bank of New York, into multiple financial institutions. When the scheme began to unravel, he tried to wipe his debts clean by filing three fraudulent bankruptcy petitions in 2010, 2011, and 2012, all aimed at dodging repayment to victims of the oil swindle.

This wasn’t Harley’s first rodeo with the law. Back in 2001, he was convicted of mail and wire fraud and served five years for a particularly vile scheme targeting AIDS patients and investors. He peddled a bogus “ozone-enema treatment” claiming it cured AIDS – a cruel and dangerous deception that exploited vulnerable individuals.

The prosecution team, led by United States Attorney Bruce D. Brandler, successfully argued the case at trial, and Stephen A. Cerutti, II, Chief of Criminal Appeals, defended the conviction on appeal. The Third Circuit’s decision confirms that Harley’s elaborate web of lies and deceit will not be tolerated. He’ll spend the next 12 years paying the price for his crimes.

Harley’s history demonstrates a pattern of predatory behavior, consistently targeting those desperate for a cure or seeking investment opportunities. The Grimy Times will continue to follow this case and report on similar instances of financial exploitation. # # #