Cathy M. Gieseker, 45, of Martinsburg, Missouri, was sentenced last Thursday to 9 years in prison for operating a Ponzi-type fraud scheme that bilked some 180 farmers out of as much as $27 million. Gieseker plead guilty last November to one count of mail fraud in connection with the scheme which collapsed a year ago. Gieseker, who operated grain transportation and brokerage businesses, T.J. Gieseker Farms and Trucking and T.J. Gieseker Trucking LLC, reportedly would offer higher than spot market prices for their grain - as much as 50 to 100 percent higher, which she actually sold at market prices, but then kept much of the proceeds for herself or to pay earlier customers. Gieseker told her clients that she could offer them higher prices because she fraudulently claimed she had contracts with Archer Daniels Midland. Prosecutors alleged that Gieseker's scheme lasted about a hear and a half, from October 2007 until February 2009. She was originally arrested and charged last July.Read the criminal complaint here.
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