An Iowa man charged in relation to an alleged investment scam, who had
previously been expected to plead guilty as part of a plea agreement,
has now said he will not appear in court. Instead, Donald K. Washburn,
of Cedar Rapids, has stated that "I'll take my chances in court."
Although he stated he would be missing the court date due to medical treatment,
it is said that he does, in fact, plan to reject the plea agreement. His
attorney was not immediately available for comment.
According to prosecutors, Washburn allegedly ran an investment scam that
took at least $800,000 from investors. In the indictment, it is said that
Washburn lured investors in with opportunities to invest in mining ventures
and gambling games. He allegedly told at least one investor that he was
developing a dice game that would be sold to casinos and would bring in
big profits. The investor was also allegedly told by Washburn's son
that a segment on the new game would air on "60 Minutes."
Washburn said he intended to back out of the plea deal, stating that "99.9
percent of the stuff he says is not true, and I'm fighting it all
the way." According to a recent court filing, he had apparently already
agreed to give up cash and luxury items. He would have been looking at
25 years in prison with the plea agreement, but he would also see 47 counts
dismissed. Washburn would also likely have to agree to pay restitution
to investors in the amount of $821,000.
investment fraud lawyers with Meyer Wilson represent investors nationwide in
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recover their losses, and we encourage you to speak with us today if you
believe you have been the victim of investment fraud, stock scams, or