NEWS RELEASE
UNITED STATES ATTORNEY’S OFFICE
DISTRICT OF NEBRASKA
JOE STECHER, UNITED STATES ATTORNEY
1620 DODGE STREET, OMAHA, NE 68102-1506
(402) 661-3700

February 11, 2008


United States Attorney Joe W. Stecher, the Office of Inspector General for the Federal Deposit Insurance Corporation and the Federal Bureau of Investigation announce the following information for the attention of the media:

Event Triggering this Release:

Charles Theiler was sentenced to 5 years imprisonment by the Honorable Laurie Smith Camp, United States District Judge, following his conviction for Bank Fraud. Theiler was ordered to serve 5 years of supervised release following his release from incarceration and pay a $100 Special Assessment.

During the period January, 2004 through the end of March, 2006, Charles Theiler was the Chief Executive Officer and Chief Loan Officer for the Bank of Paxton, Paxton, Nebraska. Some of his duties and responsibilities included review of loan applications along with supporting financial statements and determining if the loans should be approved. The bank provided both personal and commercial loans to its customers. During this period of time, the defendant created materially false financial statements and forged various loan documentation in support of loans that were issued to various customers, that were not properly collateralized.

As part of the scheme, the defendant approved various loans with less than adequate collateral and in some cases no collateral whatsoever. In order to conceal the under-collateralization, the defendant created false financial statements to supplement the applications being made for those loans. Additionally, in order to further conceal his materially false and fraudulent activity from the bank's Board of Directors, Theiler created false internal bank documents reflecting positive information on loans, when in fact these loans were in serious default.

Additionally, as part of the scheme, the defendant concealed from bank examiners with the Federal Deposit Insurance Corporation, information on the loans by creating false documentation and false bank entries prior to the examiners coming into the bank in order to cover up his fraudulent activity. As a result of his scheme, the bank suffered a loss of $4,900,000.

This fraudulent activity seriously threatened the very existence of the bank. The total loan portfolio for the bank was seventeen million, and the ultimate loss was almost 25% of that total loan portfolio. Additionally, Theiler also embezzled approximately $293,000 from a customer's account.

Prior to the FDIC examination that he knew was about to occur on June 14, 2004, Theiler falsified bank documents by posting positive information on non-performing loans to give an appearance that the loans were in fact healthy and performing. Immediately after the examinations, Theiler would reverse the postings.

Name of Defendant: Charles Theiler

AKA:

AGE: 55

Crime(s) Charged and Potential Penalty (A CHARGE is merely an accusation and every defendant is presumed innocent until and unless proven guilty): Bank Fraud; Up to 30 years imprisonment, $2,000,000 fine, 5 years supervised release, and $100 Special Assessment.

Specific Location of Alleged Crime: Paxton, NE

Location of Arrest: N/A

Alleged Dollar Loss/Type and Quantity of Drug: Approximately $4,900,000

Others Charged in Same Scheme: N/A

Relevant Dates:

Date of Alleged Crime: January 1, 2004 - March, 2006

Federal Arrest Date: N/A

Date Complaint Issued: N/A

Indictment Returned Date: July 17, 2007 (Information)

Initial Appearance Date: July 17, 2007

Plea Date(s): July 17, 2007

Sentencing Date: February 11, 2008

Next Court Hearing Type and Date: N/A

Assigned Magistrate Judge: Thomas D. Thalken

Held without Bond, or Released from Custody: Released from custody July 17, 2007

In Continuous Custody Since:

Assigned District Court Judge: Laurie Smith Camp

Initials of Assigned SAUSA/Preparer of THIS Release: RXM

February 11, 2008

United States Attorney Joe W. Stecher and the Department of Homeland Security, Immigration and Customs Enforcement, announce the following information for the attention of the media:

Event Triggering this Release:

Sean M. Brannen, 37, of Omaha was sentenced for receiving child pornography. The Honorable Laurie A. Smith Camp sentenced Brannen to a 7-year term of imprisonment to be followed by a lifetime term of supervised release.

On April 24, 2007, agents of the Bureau of Immigration and Customs Enforcement served a search warrant at Brannen's residence. More than 6,000 images of child pornography were found on electronic media seized from his home. Brannen utilized a peer-to-peer network to receive the images.

The seizure was one of the largest to date in Nebraska. The prosecution was a part of Project Safe Childhood, an ongoing initiative of the United States Department of Justice to capture and punish individuals using the computer to exploit children.

Name of Defendant: Sean M. Brannen

AKA:

Age: 37

City of residence: Omaha, Nebraska

Crime(s) Charged and Potential Penalty (A CHARGE is merely an accusation and every defendant is presumed innocent until and unless proven guilty): Receipt of Child Pornography. Maximum Penalty: 5-20 years imprisonment; at least 5 years supervised release; $250,000 fine; $100

special assessment.

Specific Location of Alleged Crime:

Location of Arrest:

Alleged Dollar Loss/Type and Quantity of Drug:

Others Charged in Same Scheme:

Relevant Dates:

Date of Alleged Crime: On and before the 24th day of April, 2007

Federal Arrest Date: April 25, 2007

Date Complaint Issued: April 25, 2007

Indictment Returned Date: May 23, 2007

Initial Appearance Date: April 25, 2007 on the Complaint; May 29, 2007 on the Indictment

Plea or Trial and Date(s): September 14, 2007

Sentencing Date: February 11, 2008

Next Court Hearing Type and Date: N/A

Assigned Magistrate Judge: The Honorable Thomas D. Thalken

Held without Bond, or Released from Custody: In custody from April 25, 2007, to May 29, 2007. Released on a personal recognizance bond with supervision on May 29, 2007/

In Continuous Custody Since:

Assigned District Court Judge: The Honorable Laurie Smith Camp

Initials of Assigned AUSA/Preparer of THIS Release: MPN




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