Kelly Gearhart, Developer
Atascadero land developer Kelly Gearhart and onetime Atascadero “Person of the Year” awaits trial.
In August 2012, Gearhart pleaded not guilty to 16 charges of mail fraud, wire fraud and money laundering at a federal court in Los Angeles. He faces up to 300 years in federal prison if convicted on all charges.
Gearhart and the former president of Hurst Financial, James Miller, have been accused of helping to defraud more than 1,200 investors of more than $100 million in an alleged Ponzi scheme. Miller and Gearhart bilked investors who put money into Central Coast real estate projects and then siphoned off the monies for other purposes, including maintaining lavish lifestyles, federal authorities alleged.
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PDFKelly Gearhart appeals guilty plea, sentencing
By 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 […]... (Continue Reading)
Gearhart sentenced, cuffed, headed to prison
Updated at 6 p.m. By KAREN VELIE and DANIEL BLACKBURN Notorious North County developer Kelly Gearhart was sentenced to 14 years in federal prison Thursday morning by U.S. District Court Judge Otis Wright II in Los Angeles. Gearhart, 54, was immediately stripped of his eyeglasses, wedding ring and other personal belongings, handcuffed, and led out […]... (Continue Reading)
Judge asks why Cuesta Title was not indicted
By KAREN VELIE During the first day of former North County developer Kelly Gearhart’s sentencing hearing, Gearhart’s attorney attempted to paint his client as a previously honest man whose missteps were a result of the downturn in the market while the judge questioned why Cuesta Title had not been indicted in the criminal actions. In […]... (Continue Reading)
Kelly Gearhart blames lenders, claims he is a victim
By KAREN VELIE Former North County developer Kelly Gearhart contends that employees of Heritage Oaks Bank and Hurst Financial were primarily responsible for defrauding more than 1,200 investors out of more than $100 million. The prosecution argues that Gearhart lulled the victims through misinformation and as such is responsible for their losses. In 2014, Gearhart, […]... (Continue Reading)
SLO jury awards Chuck Liddell nearly $2 million
A San Luis Obispo jury awarded mixed martial arts champion Chuck Liddell approximately $2 million in his lawsuit against Cuesta Title, the company that worked closely with convicted North County developer Kelly Gearhart. Liddell alleged that Cuesta Title helped Gearhart defraud him of $2 million. During the trial, Liddell testified that he purchased four lots […]... (Continue Reading)
Chuck Liddell lawsuit goes to jury
Following a five-week trial, a San Luis Obispo County jury is now deliberating as to whether Cuesta Title Company aided and abetted former North County developer Kelly Gearhart in defrauding mixed martial arts champion Chuck Liddell. [Tribune] Liddell claims he lost $2 million after his signature was forged on an escrow document. Liddell testified that […]... (Continue Reading)
Victims chastise Kelly Gearhart at hearing
By KAREN VELIE Former North County developer Kelly Gearhart sat stone-faced Monday as eight of his financial fraud victims told a federal judge in Los Angeles how Gearhart showed no mercy for the elderly victims he preyed upon. Each of the victims then asked United States District Judge Otis D. Wright II to give Gearthart […]... (Continue Reading)
Investors can speak at Gearhart’s trial
Victims of the financial fraud of former North County developer Kelly Gearhart will have a chance to speak at his sentencing hearing on June 1 in Los Angeles. Gearhart and James Miller, the former president of Hurst Financial, defrauded more than 1,200 investors of more than $100 million in an alleged Ponzi scheme. Gearhart bilked […]... (Continue Reading)
Kelly Gearhart’s sentencing hearing delayed again
The sentencing hearing for former Atascadero developer Kelly Gearhart has been changed three times in the past month and is currently set for June 1. In May, Gearhart pleaded guilty to two counts of wire fraud and one count of money laundering in a Los Angeles federal court. Gearhart, 53, admitted that he knowingly and […]... (Continue Reading)
Kelly Gearhart gets another reprieve
By KAREN VELIE The sentencing hearing for former Atascadero developer Kelly Gearhart has been extended from Dec. 29 to Feb. 23. Gearhart faces a statutory maximum of 50 years in federal prison for defrauding investors out of more than $100 million. In May, Gearhart pleaded guilty to two counts of wire fraud and one count […]... (Continue Reading)
