Fraud puts cattle buyer in prison

Billings Gazette ^ | December 17, 2009 | CLAIR JOHNSON

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A North Dakota cattle buyer displayed no remorse and made no apology as he was sentenced Thursday in federal court in Billings for conviction in a massive fraud in which he showed bankers cows in Eastern Montana that he claimed to own but didn’t.

Todd Kenneth Horob, 41, of Williston, who was president of Horob Livestock Inc., instead talked briefly about his children, health issues and trying to get disability so he could support his family.

Chief U.S. District Judge Richard Cebull sentenced Horob to 11 years in prison and ordered $6 million in restitution, with $5.1 million to be paid to Wells Fargo Bank and $911,000 to be paid to Dakota West Credit Union in Watford City, N.D. A jury convicted Horob in February of false statements, bank, wire and bankruptcy fraud, money laundering and aggravated identity theft.

Cebull ordered Horob into immediate custody.

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“You don’t have a right to blame everyone but yourself,” he said. “I don’t believe you appreciate the seriousness of what you obviously did. I don’t think you respect the law.”

A nod of appreciation for this Judge?

[SWAMPSNIPER]

This is another form of compulsive gambling.

[6SJ7]

The scheme totaled about $7.8 million and involved loans from both Wells Fargo and Dakota West, said prosecutor Ryan Archer. Horob borrowed about $5.8 million from Wells Fargo from 2003 to 2005 based on a scheme where he claimed to have more than 7,000 head of cattle as collateral. In reality, he had only 60 cattle.

When Wells Fargo bankers went looking for the cattle, Horob drove them around Eastern Montana showing them cattle he falsely claimed were his on property he didn’t own or lease. Horob also had several stockyard owners lie to bankers by telling them cattle in their yards were Horob’s when they were not.

This is just the "all beef" or perhaps I should say "all bull" version of selling the Brooklyn Bridge. Didn't Wells Fargo think to actually check the property records of this guy before loaning the money?

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Didn't Wells Fargo think to actually check the property records of this guy before loaning the money?

Wells Fargo has a history of some who have problems with home loans and personal bank accounts. As always, some may not have.

I've worked at new/used car lots and there be strange things happen'n there too. At times, I felt safer in the long gone 'Combat Zone' late night on a weekend in Boston.

This might also be similar to the overall banking situation or current administration... people in charge who have no idea what they're doing?

Then again, it might just be a horse instead of a unicorn. As Occam would have us see it; a thief(s)?

Today though, I think that Frank and Dodd (and many in government) are beyond Occamm's comprehension.