Ronald W. Nichter, Mail Fraud, Indiana 2017

Investor Loses Trust: Local Broker Sentenced for Stealing Client Funds

INDIANAPOLIS – A once-trusted investment manager has been brought to justice, serving as a harsh reminder of the devastating consequences of financial betrayal. Ronald W. Nichter, 60, of Pendleton, Indiana, was sentenced to one year in federal prison for his role in an investment fraud scheme that left his clients financially ruined.

The victims in this case worked hard for their money, and they expected the defendant to work equally hard to protect it. Instead, Nichter engaged in a scheme to defraud his clients by withdrawing money from their accounts for his personal use.

Mandatory Facts: Defendant: Ronald W. Nichter; Charges: Eight counts of mail fraud; City and State: Indianapolis, Indiana; Date: Not specified; Sentence: One year in federal prison; Supervised Release: Two years after serving his sentence; Restitution: Full restitution.

Nichter purchased and managed securities on behalf of clients in and around central Indiana, including clients in Anderson, Pendleton, and Greenfield. Beginning in October 2009, Nichter created false documents with forged client signatures requesting that funds be withdrawn from their investment accounts.

The checks issued in response to these documents would then be forwarded to addresses to which Nichter had access. He took custody of these checks, deposited them into his bank account, and spent the money for his own benefit.

This case was investigated by the United States Secret Service. Assistant U.S. Attorney Bradley P. Shepard, who prosecuted the case for the government, noted that Nichter faces two years of supervised release after serving his sentence and must make full restitution.

The case is a stark reminder of the importance of due diligence when entrusting financial matters to others. It serves as a warning to potential investors to carefully vet their financial advisors and to remain vigilant in monitoring their accounts.

Related Federal Cases