Idaho coin dealer indicted on fraud charges
IDAHO FALLS, Idaho (AP) - An eastern Idaho coin dealer who prosecutors say lured $4 million from investors has been indicted on federal fraud charges.
Gene Hinsley of Idaho Falls was indicted Wednesday on 10 felony counts including wire fraud and interstate transportation of stolen property.
Assistant U.S. attorney George Breitsameter said in U.S. District Court filings that more than 100 investors lost up to $2 million.
According to the 21-page indictment, Hinsley offered investors low- and no-risk opportunities to invest in silver.
Instead, Hinsley used money from unsuspecting clients of his Galaxy Coin business to pay off earlier investors - and cover personal and business expenses.
What's more, since Hinsley kept such incomplete records, prosecutors say the exact amount he may have defrauded investors isn't known.
Hinsley didn't return a call seeking comment.