Brian Douglas Gill Pleads Guilty in U.S. Federal Court
The United States Attorney's Office announced that during a federal court session in Missoula, on September 5, 2012, before U.S. Magistrate Judge Jeremiah C. Lynch, BRIAN DOUGLAS GILL, a 54-year-old resident of San Pedro, California, pled guilty to wire fraud and money laundering. Sentencing has been set for December 20, 2012. He is currently released on special conditions.
In an Offer of Proof filed by Special Assistant U.S. Attorney Chad C. Spraker, the government stated it would have proved at trial the following:
In early 2008, GILL met an individual, identified here as X.X., and discussed a purported high-yield investment. The investment was to return a large amount of money over a relatively short amount of time and involved Dan Oaheyoh Two Feathers, who would invest the funds. GILL expressed interest and began promoting the investment.
In March 2008, GILL promoted the investment to his friend E.G. E.G. provided GILL with a March 17, 2008 check and wire totaling $30,000.
In late March or early April 2008, GILL met in Denver with Two Feathers, X.X., and others to discuss the purported investment. Shortly thereafter, GILL entered into a written agreement with X.X. to promote the investment.
Either shortly before or after the Denver meeting, GILL organized a meeting at an automobile shop in Long Beach, California. Several investors or potential investors attended the meeting including A.A., B.B., and C.C. Both X.X. and GILL promoted the investment, and investors were informed that their money would be invested with Dan Two Feathers. After the meeting, GILL received a total of $170,000 of investor funds from A.A., B.B., and A.A.'s sister D.D.
C.C. sent $100,000 directly to X.X.'s bank account. After receiving C.C.'s money and other investor funds, X.X. sent a series of money wires from her bank account in Portland, Oregon to Two Feathers' bank account in Hamilton, including a $100,000 wire on April 4, 2008.
GILL, X.X., and their associates continued to promote the investment, resulting in a $100,000 wire from R.F. and a $100,000 wire from B.W., which GILL also received in one of his bank accounts. In total, GILL received in $400,000 of investor funds.
After receiving these investor funds, GILL wired $100,000 from his bank account in Long Beach, California to X.X.'s bank account in Portland, Oregon on May 8, 2008, but retained the remaining $300,000. GILL never sent the remaining $300,000 to X.X. or Two Feathers but used the investors' funds for other purposes, including his personal expenses. Neither A.A., D.D., B.B., C.C., B.W., nor R.F. received back their principal or a return on the purported investment.
Two Feathers pled guilty to federal charges and has been sentenced.
GILL faces possible penalties of 20 years in prison, a $250,000 fine and 3 years supervised release.
The investigation was a cooperative effort between the Federal Bureau of Investigation and the Criminal Investigation Division of the Internal Revenue Service.