Kelly Gearhart appeals guilty plea, sentencing

July 8, 2015

Gearhart111By KAREN VELIE

Former Atascadero developer Kelly Gearhart plead guilty to money laundering and wire fraud, was sentenced to 14 years in federal prison last week, and Monday he filed a notice of appeal.

According to the notice, Gearhart plans to appeal his guilty plea, his 14 year sentence and his reprimand into a federal facility in Los Angeles where he is currently being held without bail. Nevertheless, even though Gearhart’s attorney noted his intent to appeal multiple issues, in his appeal he may or may not raise each issue.

Until last week, Gearhart had lived in Ohio after posting $100,000 bail in 2012.

In July 2012, Gearhart was indicted by a federal grand jury on 16 charges of mail fraud, wire fraud, and money laundering. If convicted on all charges, Gearhart faced up to 300 years in federal prison.

In 2014, Gearhart, now 55, plead guilty to knowingly and intentionally making misrepresentations and omissions relating to real estate projects to get people and institutions, including nonprofits, to trust him with their money. As part of the plea agreement, Gearhart was charged with three of the original 16 felony counts which reduced the maximum sentence allowable by law to 50 years in federal prison.

During Gearhart’s sentencing hearing, the prosecution asked for a 135 months sentence and Gearhart sought 57 months’ imprisonment. Nevertheless, U.S. District Court Judge Otis Wright II sentenced Gearhart to 168 noting the grievous harm Gearhart inflicted on his victims.

The court filed a schedule on Tuesday that requires Gearhart’s attorney to file an opening brief by Nov. 4 and the prosecution to respond by Dec. 4.

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28 Comments

  1. newscruzer1 says:

    I’ve been told of something I need not had been, for I, as many are keenly aware what an imperfect world were living in, and I too wish it were not so, but it is the way it is and the best we can do, we should be doing, but that to is also a reality we must face without worrying about why others aren’t.
    Which brings up an interesting point, which is this, as I see it at any rate,
    Those who are not perfect attempting to be the best they can be are being vilified, especially as they fight the fight to bring to light truths in our society, events which cause adverse affects on the rest, and to this, I ask, why!
    Ah! Another truth smacks me right between the eyes, and that truth is this.
    There are allot of sick people in this world who refuse to open their eye’s, believing somehow their above all the rest, those in places of power wheedling their authority in ruthless ways that cause harm.
    I can be thankful for many things, thankful I have a grounded belief in a creator, thankful that placed for me to see is a truth beyond compair, bringing hope that begs my heart in wanting to share with others the hope of a true and lasting peace, along with that, also in knowing there are still those very few who work in the business of bringing to us the news who refuse to bend or break that trust which society has so placed before them, to always tell the truth.
    Saddens me to see those very ones being vilified by the machine of crunch and destroy, doing so without conscious of thought or care.
    Go ahead, try your best in convincing me were not living in the last days as foretold!
    Go ahead, do your best.

    (-3) 3 Total Votes - 0 up - 3 down
  2. smile4thecamera says:

    Looks like the Gearhart’s were up to some sketchy things in Ohio as well. They are just awful people.

    (9) 9 Total Votes - 9 up - 0 down
  3. kellyfraud says:

    The money is not hard to find. Look in wadsworth.

    (10) 10 Total Votes - 10 up - 0 down

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