Former prominent developer and Atascadero Citizen of the Year Kelly Gearhart has yet to learn his fate after a judge delayed a sentencing hearing Monday in U.S. District Court in Los Angeles to later this week.
Gearhart will return for sentencing at 9 a.m. Thursday, U.S. Attorney's Office spokesman Thom Mrozek confirmed.
Gearhart, 53, who now lives in Wadsworth, Ohio, pleaded guilty in 2014 to two counts of wire fraud and one count of money laundering in U.S. District Court in Los Angeles.
Federal prosecutors are seeking a prison term of 135 months, according to a 21-page sentencing position filed with the court.
Sign Up and Save
Get six months of free digital access to The Tribune
The report cited charges relating to more than 250 victims, though roughly 500 plaintiffs sued Gearhart in civil court, claiming they were swindled. According to prosecutors, Gearhart’s crimes defrauded investors of more than $14 million.