A third person charged in the Manson Insurance fraud case in Wausau has pleaded out. Former president Timothy Mathwich reached a deal with prosecutors on two charges, of conspiracy to commit bank fraud and misappropriation of insurance credits. Assistant US Attorney Grant Johnson said prosecutors had been ready to go to trial, but that Mathwich’s plea matches others in the case. “David Scholfield and Susan Brockman both have admitted their roles in the case.”
At the plea hearing on Tuesday, Mathwich acknowledged to the court that the conspiracy resulted in Manson Insurance fraudulently obtaining $4.7 million in loans from River Valley Bank, as well as the fraud against Manson’s customers which was another $5.6 million.
Mathwich faces 5 years in prison and 3 years on supervised release on each count when he’s sentenced. Johnson says a large cash penalty could also be levied. “Scholfield and Brockman both have a Restitution order of approximately 5 million dollars and I would expect Mathwich would receive the same order.”
Mathwich’s sentencing date is scheduled for February 14, 2013