Estimated read time: 2-3 minutes
This archived news story is available only for your personal, non-commercial use. Information in the story may be outdated or superseded by additional information. Reading or replaying the story in its archived form does not constitute a republication of the story.
PROVO, Utah (AP) -- James Brent Haymond, former mayor of Springville and one-time legislator, has been ordered to report to the Utah County Jail on April 1 because he has failed to provide $137,000 in restitution for fraud.
Haymond, 69, was sentenced Nov. 15 after pleading no contest in July to felony charges of securities fraud and theft by deception charges and a misdemeanor charge of selling an unregistered security.
Haymond had persuaded friends and co-workers to invest in supposed humanitarian projects in China.
He was sentenced to 120 days in jail but the sentence was stayed until Tuesday to allow him time to repay about half of the more than $275,000 that was invested in the bogus program.
Court documents state that in 1998, Haymond began encouraging investors to donate money toward building power plants in China, purchasing airplanes for the Chinese government and growing alfalfa crops in China, to help encourage a relationship between The Church of Jesus Christ of Latter-day Saints and the Chinese government. Investors never received a return on their money.
Under the plea agreement, Haymond was to stay out of jail and eventually have the felony charges dropped to class A misdemeanors if he paid the restitution.
During a court hearing Tuesday, Haymond's attorney, Randy Spencer, said his client was unable to raise the money.
Deputy Utah County Attorney Curtis Larson said getting restitution for the investors was the primary reason for allowing Haymond to remain free.
Haymond was given the option of serving 60 days of straight jail time, or 120 days of jail with work release. Spencer said Haymond has not made a decision yet.
Spencer said that if Haymond is able to raise the money before April 1, he will seek another hearing to ask the court to reconsider the jail requirement.
Haymond still owes the restitution, even if he serves the jail time.
Larson said that if Haymond does not make restitution, the judge could extend the probation time, impose more jail time or push the amount into a civil claim.
Court documents allege Haymond was working with Gen Yee Lin while seeking the investment money. The documents say Lin claimed he had influential ties with the Chinese government that would help with the projects.
The money was to be invested in certificates of deposit from the Bank of China, then placed in a U.S. Treasury Mid-Term Note trading program.
The program promised extremely large returns, which would be used to buy planes or alfalfa seeds and reimburse the investors, according to court documents.
Lin, who is believed to be in China, is the target of an ongoing investigation, but has not been charged.
(Copyright 2006 by The Associated Press. All Rights Reserved.)
