Real Estate Fraud Case Yields Prison Terms
Posted by Damian Kelly on Aug 1, 2012 - 1:38:22 PM
WOODLAND HILLS—On Tuesday, July 31, a former resident was sentenced to 12 years and 8 months in state prison for her role in an investment fraud scheme.
Reports indicate Katherine “Katie” Rose, 63, was also ordered by Ventura County Superior Court Judge Kevin McGee to pay $3,403,158 in restitution.Rose pled guilty to 13 felony crimes and aggravated white collar crime enhancement.
The radio personalities will both serve extended time behind bars. Photo courtesy of Puget Sound Blog
Rose’s husband, Kenneth Powell, who was also involved in the scheme, was sentenced to 18 years in state prison and ordered to pay $4,341,119 in restitution, according to the Ventura County District Attorney’s office.
An investigation conducted by a group of Ventura County law agencies revealed that from June 2005 to May 2008, Powell and Rose made false claims to victims that their investments would be used to develop new homes on vacant lots in Taft.Reports indicate that no homes were ever built.
Investigators also found that additional victims were falsely led to believe their investments were being used to make loans to borrowers secured by recorded deeds of trust.However, this was found to be untrue as the deeds of trusts were worthless because the properties either previously had liens on them or the deeds of trust were never recorded.
Rose and Powell, a former resident of Thousand Oaks, once hosted local Ventura County radio programs together.Their infomercial-type radio shows consisted of “Ken & Katie Show,” “Money Intelligence” and “Academy of Real Estate” on KVTA 1520 AM and encouraged listeners to attend investment seminars where they were led to invest in various properties.
Powell and Rose’s shows, which were paid for by the couple, were on the air for two to three years before ending due to a dispute with the radio station.
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