Press Releases

For Immediate Release
June 15, 2009	Contact: Charles Evenson 608-266-2026

New Lisbon Resident Badder Sentenced For Wire, Mail Fraud

(Madison) On June 5, 2009, Federal Judge William Griesbach for the Eastern District of Wisconsin in Green Bay sentenced Russell J. Badder, owner of Oshkosh Aircraft Parts, LLC (OAP), to 41 months (three years and 5 months) in prison and ordered him to pay over $529,000 to 23 investors whom he swindled. This sentence was concurrent for each of two counts of wire and mail fraud to which Badder plead guilty in February.

Badder solicited investments of over $500,000 from investors in Wisconsin, Missouri, Illinois, Indiana and Virginia, primarily so OAP could purchase crashed planes that it would strip and sell for parts. In one scenario, three separate investors each invested approximately $19,000 with Badder, who specifically told each investor their investment money would fund his winning $19,000 bid for the purchase of the same crashed plane. He never purchased the $19,000 crashed aircraft, but instead spent all the money on other business and personal expenses.

During sentencing two witnesses told the court how Badder’s actions affected them. A 72-year-old man was introduced to Badder through his daughter who was dating Badder at the time. He advised the court that because of this and the fact that Badder was a fellow participant in motivational workshops he felt he could trust him. Badder took his entire retirement fund with a promise to quickly repay it and failed to do so. As a result he lives on Social Security and a small pension with no savings as a safety net.

His daughter also testified about how Badder’s actions had affected her father, telling the court that with the loss of his retirement funds he could no longer afford Christmas presents for his children which totally devastated him.
Another victim testified she was a former girlfriend who also knew Badder through the same program. She told the court she lost the money her father loaned her to fix up her home and had to take out an additional loan to repay her father.

In sentencing Badder, Griesbach made the following statements, “Nothing excuses this type of betrayal.” “He made evil choices and took advantage of friends.” “[Sentencing Badder to] [t]he upper range of the guidelines [33-41 months] is appropriate given the predatory nature of his behavior.” Griesbach ordered Badder into custody following the hearing.

The U.S. Attorney of the Eastern District of Wisconsin’s Green Bay office prosecuted the case based upon a joint investigative effort by the Middleton Police Department, the Division of Securities of the Wisconsin Department of Financial Institutions, the Securities Division of the Missouri Secretary of State’s Office, and the United States Postal Inspection Service.