An ex-ING financial adviser who looted her clients' investment accounts to the tune of $12 million was sentenced Wednesday to six years and eight months in prison by a federal judge — who also sang her praises for cooperating with officials after she got caught.
Rhonda Breard pleaded guilty in April to one count of mail fraud, admitting that she concealed the theft by mailing her clients fake account statements. In March, she was
barred from the securities industry by the Financial Industry Regulatory Authority.
She used the money on three expensive homes, travel, jewelry, and more than two dozen vehicles, according to government documents, which she reportedly tried to sell at the end of February, several weeks
after she attempted suicide.
Ms. Breard was licensed to sell securities through Des Moines, Iowa-based ING Financial Partners — which, during a surprise audit, uncovered a secret set of files Mr. Breard maintained that detailed her misdealings.
ING has settled with 16 of Ms. Breard's victims, the Seattle Times reported, citing government documents, adding that the firm is currently in negotiations with other clients who lost money in Ms. Breard's fraud scheme.
U.S. District Judge Marsha Pechman issued the sentence — which was below the 8- to 10-year guideline range — after hearing from victims who described how Breard devastated them emotionally and financially. They insisted that Breard cooperated and pretended to be sorry after she got caught only in an effort to minimize her potential prison time, and some wanted Breard to be sentenced to the maximum 20-year prison term.
Even Breard herself said she deserved the maximum.
"I don't feel I deserve any breaks," the tearful mother of three told the court. "But I would like to be in my children's lives."
In 22 years on the bench, Pechman said, "I've never seen anybody who came forward in quite the same way."
Dozens of victims packed the courtroom, and some groaned as Assistant U.S. Attorney Carl
Blackstone suggested Breard deserved some leniency both for her cooperation and for the difficult childhood she endured. Some of the victims who addressed the court told
Blackstone he'd been "bamboozled."
"I hope the U.S. federal court is not deceived by the great deceiver, Rhonda Breard," said one, Shelly Heath.
Associated Press contributed to this report
