FOR IMMEDIATE RELEASE
Wednesday, July 23, 2008
WILLIAM CURTIS BEEDE SENTENCED IN U.S. DISTRICT COURT
Bill Mercer, United States Attorney for the District of Montana, announced today that during a federal court session in Billings, on July 23, 2008, before Senior U.S. District Judge Jack D. Shanstrom, WILLIAM CURTIS BEEDE, a 42-year-old resident of Billings, appeared for sentencing. BEEDE was sentenced to a term of:
- Prison: 18 months
- Special Assessment: $200
- Restitution: $730,985.38
- Supervised Release: 5 years
BEEDE was sentenced in connection with his guilty plea to bank and wire fraud.
In an Offer of Proof filed by the United States, the government stated it would have proved at trial the following:
Between late 2002 and July of 2005, BEEDE was the owner of Yellowstone Auto Inc. in Billings and borrowed money from Little Horn State Bank (LHSB) to purchase vehicles for resale.
BEEDE violated his security agreement with LHSB in several ways. First, upon resale of some vehicles, BEEDE did not repay the loans against those vehicles. Second, upon purchase of some vehicles, BEEDE took out another loan against the vehicles with Automotive Finance Company (AFC). Finally, BEEDE did not use some of the borrowed funds to purchase vehicles.
BEEDE also submitted information about vehicles he did not own as collateral for loans with LHSB.
Between October of 2004 and July of 2005, BEEDE, through Yellowstone Auto, Inc., borrowed money from AFC to purchase vehicles for resale.
BEEDE also violated his promissory note and security agreement with AFC in several ways. First, upon resale of some vehicles, he did not repay the loans against the sold vehicles. Second, upon purchase of some vehicles, BEEDE took out another loan against the vehicles with LHSB. Finally, BEEDE did not use some of the borrowed funds to purchase vehicles.
BEEDE also submitted information about vehicles he did not own as collateral for loans with AFC.
On July 19, 2005, AFC wired $72,000 from its account with SunTrust Bank in Atlanta, GA, to Yellowstone Auto Inc.'s account at LHSB in Billings for the purpose of executing the scheme.
Because there is no parole in the federal system, the "truth in sentencing" guidelines mandate that BEEDE will likely serve all of the time imposed by the court. In the federal system, BEEDE does have the opportunity to earn a sentence reduction for "good behavior." However, this reduction will not exceed 15% of the overall sentence.
First Assistant U.S. Attorney Kurt G. Alme prosecuted the case for the United States.
The investigation was conducted by the Federal Bureau of Investigation.
