TOLEDO, Ohio — A Toledo investment firm executive has pleaded guilty to charges related to a decade-long Ponzi scheme that defrauded investors out of millions of dollars.
Richard Scheich, who held an executive role in multiple entities connected to the Northwest Capital scheme, appeared in court on May 27 and admitted to two counts of conspiracy to engage in a pattern of corrupt activity and three counts of selling unregistered securities, according to the Ohio Attorney General’s office.
Scheich allegedly fabricated false invoices to secure funding from lending institutions, using the proceeds to pay investors who had invested in companies affiliated with Northwest Capital. Authorities say he personally defrauded nearly $9 million, while the overall case involving co-defendants totals approximately $72 million in fraudulent investments.
As part of a plea agreement, Scheich has agreed to cooperate with ongoing investigations and will testify against his co-defendants. A sentencing date for Scheich will be determined once the related prosecutions have concluded.
Ohio Attorney General Dave Yost’s office continues to pursue justice in this high-profile case, which highlights ongoing efforts to combat complex financial fraud schemes affecting investors across the state.