Posted by Dead Wax Records on July 20, 2009 at 13:12:31:
In Reply to: Key figure in Webio Radio case stays in jail posted by Dead Wax Records on July 20, 2009 at 13:10:11:
Financier accused in Ponzi scam to stay in jail
July 20, 2009 10:30 AM
Chicago financier David Hernandez will be remaining in federal custody after he decided not to fight his detention at a hearing today.
Hernandez, who fled the Chicago area after being charged with running an extensive Ponzi scheme, was arrested earlier this month after apparently attempting suicide at a Normal hotel. He has pleaded not guilty in the case, and prosecutors sought to keep him behind bars as a flight risk.
At a hearing last week, Hernandez told U.S. Magistrate Judge Susan Cox that he expected criminal-defense lawyer Jeffrey Steinback would be taking his case. But Steinback told the Tribune he did not plan to represent Hernandez.
On Monday, Hernandez agreed to be represented by a court-appointed attorney, John Meyer, telling Cox he had "full confidence" in the lawyer.
Hernandez of Downers Grove was indicted this month and accused of victimizing 290 individuals over a two-year period in a Ponzi scheme that produced $3.5 million in losses when it collapsed. Authorities have said the alleged scheme helped bankroll the local Internet sports radio station Chicago Sports Webio.
--Jeff Coen