|For Immediate Release
|June 15, 2009
||Contact: Charles Evenson
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
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.