Amana couple convicted of bankruptcy fraud in Florida - KWWL - Eastern Iowa Breaking News, Weather, Closings

Amana couple convicted of bankruptcy fraud in Florida

Posted:

PENSACOLA, FLORIDA (KWWL) -- A Pensacola, Florida jury has convicted an Amana couple of mail fraud and bankruptcy fraud following a six-day trial.

Attorneys say Gerald Schuerer, 60, and his wife Fay Schuerer, 58, set-up a scheme to defraud bankruptcy creditors out of more than $350,000 in property.

According to court documents, evidence showed the Schuerers made sham sales of assets to relatives with an understanding they would reacquire the assets from their relatives after filing for bankruptcy protection.

The assets included a vehicle, boats, household property, jewelry, stocks, and other investments worth approximately $380,000.

The assets were placed primarily in the hands of their son and Gerald Schuerer's parents.

Lawyers say the Schuerers moved to Florida where bankruptcy exemptions are more liberal than in Iowa, filed for bankruptcy protection, then moved back to Iowa and got the property back from their relatives.

Attorneys say the Schuerers used the sham transactions to hide their assets.

The Schuerers were released on bond until a sentencing date is set.

The Schuerers each face a maximum 30 years in prison without the possibility of parole, a fine of $500,000, six years of supervised release and a special assessment of $200.

The government will seek restitution for the Schuerer's creditors equal to the value of the assets the Schuerers concealed at sentencing.

Powered by Frankly