Kelly Gearhart wins sentencing hearing appeal

September 5, 2017

Kelly Gearhart

Former North County developer Kelly Gearhart will receive a new sentencing and restitution hearing after the Ninth U.S. Circuit Court of Appeals ruled that Judge Otis Wright II erred in sentencing Gearhart to 14 years in federal prison. In 2014, Gearhart pleaded guilty to real estate fraud. [Cal Coast Times]

In July 2015, Judge Wright sentenced Gearhart to 14 years each on two counts of wire fraud and one count of money laundering to be served concurrently.

The appellate court determined Judge Wright erred in sentencing Gearhart to 14 years for money laundering even though, by statute, the maximum term is 10 years. The appellate court also determined Judge Wright did not devote enough time on issues related to enhancements and a currently sealed restitution amount.

Even though Gearhart will receive a new hearing, he is not guaranteed his sentence or restitution requirements will be lowered. During the new hearing, Judge Wright has the option of sentencing Gearhart to consecutive jail terms and to expand victims to include those who invested on projects other than Vista del Hombre in Paso Robles.

Read entire article at Cal Coast Times.


Great article. Lock the door and throw away the key on this guy.

By the way, what’s Cal Coast Times?


Highly doubtful but very bold

Jorge Estrada

I don’t think this will be a catch and release hearing. Many of the injured are now dead.


I’ll be waiting at the gate when you get out fat boy. You never should have ripped everyone off.


I had to double check while reading this story. Sounds a lot like a repeat of the raw sewage spill earlier today on Lack Ave. Since sewage is so similar to Gearhart.

When will this just go away. Put him in jail, where he belongs and let us get on with our lives.


If new sentencing and restitution hearing results in time added, then by all means do it.

He got off way too light considering all the damage he did.

I’m all in favor of this appeal backfiring on him to the maximum extent possible.


Money talks…bullshit walks! Lady Justice is NOT blind, rather she enjoys the finer things in life it seems.


Big difference between consecutive and concurrent. Hopefully the Judge Otis doubles the sentence or sends him to the electric chair.


Yes!, The chair!

He got off light, I have no idea why the feds only charged him with a couple crimes since he committed a multitude. I hope CCN will print a comprehensive avenue for all the victims to speak up this time. It is the role of the press to inform the public, we deserve to be informed of how and who to contact to have our say about how this slime ruined so many lives.

Same for his pal James Miller, who is the ultimate crook in running Hurst Financial that enabled the massive fraud.

fat chance

I was hoping that we would not have to hear about this guy for a few more years… I guess that not going to happen.


We should remember the only reason we heard about this citizen of the year in the first place was because of CCN.

Thank you Cal Coast News.

We sure can’t count on the Trib for anything of substance.