The Cedar Falls man who admitted to stealing millions of dollars from customers of his financial firm will stay locked up for now.
Sixty-four-year-old Russell Wasendorf Senior pled guilty Monday to mail fraud, embezzlement and making false statements to regulators in connection with his theft of money from Peregrine Financial Group.
Wasendorf was the C.E.O. of the company and admitted in his plea that he started stealing money from customers in the early 1990’s and continued until July of this year. He took a total of $100-million from customers and then manipulated documents that misstated funds in the company account by over $200-million.
Under the plea deal he has agreed to forfeit $100-million and pay restitution to his customers. A judge originally said Wasnedorf would be released to his pastor until sentenced, but federal prosecutors appealed, saying Wasendorf is a risk to flee or to try and take his own life.
Wasendorf remains in jail while the judge decides on that appeal.
