Patrick Kiley, a 75-year-old Burnsville man and former radio host, was sentenced Monday to 20 years in prison for his role in a multimillion-dollar Ponzi scheme orchestrated by Trevor Cook.
Kiley, who had long argued that he is innocent, was sentenced on 12 counts of wire and mail fraud, one count of conspiracy to commit mail and wire fraud, and two counts of money laundering, according to Minnesota’s U.S. Attorney’s office. Kiley and his co-defendants in the case, who were previously sentenced, were also ordered to pay $155.4 million in restitution to victims of the fraud.
Cook was sentenced in 2010 to 25 years in prison for running a $190 million Ponzi scheme that defrauded hundreds of investors. Between 2005 and 2009, Cook and his co-conspirators allegedly solicited investors to put money in a foreign currency trading program that they said would earn a double-digit rate of return, typically between 10.5 and 12 percent annually, with little or no risk, according to the U.S. Attorney’s Office. The men also claimed investor assets would be held in a separate account and could be withdrawn at any time, although that was not the case.
Kiley, a Christian radio host, solicited investors for the fraud scheme through his radio talk show, which was carried on more than 200 stations across the country, Minnesota’s U.S. Attorney’s office said. He allegedly asked listeners to avoid financial ruin by handing over their life savings to his company for investment.
Kiley—along with Jason “Bo” Beckman of Plymouth and Gerald Durand of Faribault—was convicted in June 2012. Beckman was subsequently sentenced to 30 years in federal prison. Co-conspirators Gerald Durand and Christopher Pettengill, meanwhile, were sentenced to 20 years and 7.5 years, respectively, for their roles in the scheme.
Kiley’s radio program was called Follow the Money, and it was broadcast on many Christian radio channels, according to a Star Tribune report. Kiley told the judge that what he once believed about Cook’s investment product turned out to be incorrect, and he said that he was prepared to take his punishment, the newspaper reported.