Update: Three Omaha Men Indicted, Accused Of Ponzi Scheme

By: Mike McKnight, The Associated Press Email
By: Mike McKnight, The Associated Press Email

Three Omaha men have been indicted on federal charges that accuse them of bilking 130 people of about $4 million in a Ponzi scheme. This comes after several Channel 6 News investigations.

The federal indictments announced Wednesday name 44-year-old Jonathan Arrington, 52-year-old Michael Kratville and 38-year-old Michael Welke. Each faces 14 counts of mail and wire fraud and conspiracy.

Among the victims was Dan Uhing, who lost $250,000. For six years he and other victims compiled information on the scheme and defendants. A book full of evidence was turned over to federal authorities, which led to the indictments.

“This was our whole lives. I spent 25 years saving up all the money I gave them and you know it was like he took my life from me so I had to do something about it so I was pretty consumed with it from the start.”

Uhing says his mother is out $200,000.

Federal authorities say the three told investors with Elite Management Holdings Corp. that the fund guaranteed returns of four percent to six percent a month and that investors' risk was low because only 10 percent of their principal investment would be invested at any one time.

Prosecutors say the three used more than $700,000 themselves for golf club memberships, travel and dining. In past stories with Fact Finders, they claimed bad business deals, not an intent to steal.

If convicted, they face up to 20 years on each count.

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