DES MOINES —
United States District Court Judge John Jarvey sentenced John Francis Holtsinger, 52, of Ottumwa, to 87 months imprisonment on wire fraud and tax evasion charges, announced U.S. Attorney Klinefeldt. Judge Jarvey also ordered the federal sentence to be served consecutive to a five-year sentence Holtsinger recently received on unrelated state charges. Holtsinger also was ordered to pay $948,239.67 in restitution to the victims of his offense, and will have to serve 60 months of supervised release following the completion of his prison term.
In an earlier hearing, Holtsinger admitted to soliciting and receiving more than $1.1 million from investors in the state of Iowa between 2005 and 2012. He represented to the investors that he would put their money into investment accounts; however, he actually used most of it for personal expenses or to pay back investors whose money he had misappropriated earlier. Holtsinger admitted that he ended up exhausting all the funds he received from investors.
He then attempted to conceal his fraud by falsely informing the investors that their funds had been frozen as a result of actions taken by state or federal authorities. In reality, the funds were gone.