Indiana News

Geist Businessman Indicted

3/16/2011

U.S. Attorney Tim Morrison announces details of the indictment. (WIBC.com photo: Liz Thomas)
U.S. Attorney Tim Morrison announces details of the indictment. (WIBC.com photo: Liz Thomas)
Indianapolis businessman Tim Durham and two others face federal charges in connection with an alleged securities fraud scheme to defraud about 5,000 investors of more than $200 million.

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The FBI confirms Durham was arrested Wednesday morning at his home in West Hollywood, California, without incident.

U.S. Attorney Tim Morrison says Durham, James Cochran and Rick Snow, are being charged with 12 felony counts, including wire fraud and securities fraud.

"This has been an arduous journey, as are most white collar cases," Morrison said. "But we now welcome the opportunity to prove the indictment's allegations against these three men beyond a reasonable doubt."

All three are accused of deceiving investors about Ohio-based Fair Finance Co.'s financial condition to get them to purchase investment certificates. Investigators say the men then used the money to fund other business and personal ventures.

The indictment claims Durham took $250,000 from Fair to pay for garage remodeling. It also reveals Durham used $150,000 investor money to pay for a trip to the casino.

The FBI raided Fair Finance and the offices of Durham's Indianapolis-based Obsidian Enterprises in November of 2009, confiscating numerous documents and computers.

It's unlikely that investors will get all of their money back. Durham says all of his assets have been wiped out..

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» Businessman's Art Collection to be Auctioned (10-15-10)
» Indy Businessman Faces Foreclosure on Mansion (9-17-10)
» Classic Cars Seized from Durham Property (7-1-10)
» Durham Facing Additional Financial Trouble (4-29-10)
» Investigation of Indy Financier Troubles GOP (12-12-09)
» Lawsuit Filed Against Indianapolis Businessman (12-4-09)
» US Attorney Drops Lawsuit Against Indy Businessman (11-30-09)
» Brizzi: Inappropriate to Comment on Durham Allegations (11-25-09)
» FBI Conducts Raid at Downtown Office (11-24-09)
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