U.S. Marshals arrest Ayers, Dierker, Faulkenberry and Speer

Arrests in alleged escape plot latest twist in Ohio fraud case
By The Associated Press

Published on Thursday Apr 03, 2008

Some events in the history of the $1.9 billion fraud case against National Century Financial Enterprises, based in the Columbus suburb of Dublin:

1991: Businessman Lance Poulsen founds National Century, a health care financing company that provides financing to medical providers such as nursing homes and small hospitals by buying their short-term debt with money raised from investors.

1995-2002: According to federal prosecutors, the company provides unsecured loans to health care providers and misleads investors about the loans.

November 2002: The company declares bankruptcy after the FBI raids its offices as part of a government investigation.

August 2003: Sherry Gibson, a friend of Poulsen who rose through the company ranks from secretary to executive vice president of compliance, pleads guilty to conspiracy to commit wire and securities fraud.

July 2007: A federal grand jury indicts seven former executives of the company, including Poulsen, with multiple counts of conspiracy, wire and securities fraud and money laundering.

December 2007: A grand jury indicts Poulsen and acquaintance Karl Demmler on charges of trying to bribe Gibson to change her testimony at Poulsen's upcoming fraud trial.

January: U.S. District Court Judge Algenon Marbley grants Poulsen's request to have his own fraud trial in August.

February: Five remaining defendants go on trial before Marbley: Donald Ayers, James Dierker, Roger Faulkenberry, Rebecca Parrett and Randolph Speer.

Prosecutors allege the five engaged in a massive cover-up by lying to investors, fabricating data and loading false information onto a company computer system. Defendants said the government used incorrect definitions in looking at the company's books and took the company's activities out of context by showing jurors only a tiny slice of National Century's operations.

March 13: A jury finds all five defendants guilty. Marbley allows the five to remain free pending sentencing.

March 26: A jury convicts Poulsen and Demmler of conspiracy, witness tampering and obstruction of justice for trying to bribe Gibson.

March 27: Marbley issues an arrest warrant for Parrett after the government says she disappeared.
April 2: U.S. Marshals arrest Ayers, Dierker, Faulkenberry and Speer after the government says it uncovered a plot under which the four would flee to Aruba if convicted.

April 3: Marbley refuses to allow Dierker and Faulkenberry to go free pending a full hearing on the government's plot allegations.

Source: AP Research.