Jury convicts Oklahoma oil company owner of fraud
OKLAHOMA CITY – A jury has convicted Kevin Wieck, 52, of Cromwell, Oklahoma, on ten counts of wire fraud and five counts of money laundering.
Wieck, who owned and operated Wieck Oil Company, LLC, was indicted on July 3, 2018.
According to the indictment, Wieck’s fraudulent scheme involved selling working interests in wells, keeping money from investors, and selling interest on a well he never actually owned.
The five money laundering counts involved transfers of criminal proceeds in amounts larger than $10,000 between bank accounts.
According to the indictment, Wieck fled to Mexico around late August 2014. He has been in the custody of the U.S. Marshals Service since April 11, 2018.
On September 11, 2018, eight investors from Tulsa, Edmond, Michigan, Illinois, and elsewhere testified about Wieck’s false promises and misrepresentations in connection with the wells.
These investors had invested cash, co-signed loans with Wieck, or provided services such as drilling, road work, and construction on the wells at reduced rates.
Two investors testified that Wieck solicited investments in the well he didn’t own.
A local energy company executive confirmed that Wieck filed oil and gas assignments late and failed to secure division orders to pay investors directly. Instead, he exercised a “quick pay” option, which funneled all revenue into his own bank accounts.
An FBI forensic accountant confirmed during trial that Wieck received more than $1.17 million in revenue and—even after production and operating costs—pocketed at least $600,000, in addition to the value of investors’ contributions.
Wieck’s ex-wife corroborated that she and Wieck splurged on hotel stays, vacations, and large purchases when investments came in.
After three days of testimony, a jury deliberated for approximately two hours before returning guilty verdicts on all counts on September 14.
Wieck could receive twenty years in prison on each count of mail fraud and ten years on each count of money laundering.
Each conviction could also carry a fine of up to $250,000 and supervised release of up to three years. He will also be required to pay restitution to victims of his fraudulent scheme.
Sentencing will take place in approximately 90 days.