If you wish to live like a lottery winner, you can take your roughly one in 175 million chance on Wednesday. Alternately, you can go into financial advisory, with much shorter odds of a very long prison sentence.
An Idaho financial adviser who publicly portrayed himself as advocate for transparency in retirement plans but privately spent investors’ money “like he was a lottery winner” learned just how tough the federal sentencing guidelines can be last week.
Matthew D. Hutcheson, a former trustee for a Utah pension plan and administrator for an Idaho 401(k) plan was sentenced to 17 years in prison on Wednesday— the low end of his guidelines range….
Mr. Hutcheson allegedly used investor funds to carry out extensive renovations at his Idaho home, including building a 4,100 square-foot barn with a loft apartment and office, adding a swimming pool and hot tub and building a secondary garage and a dog house, prosecutors said.
He also purchased a Land Rover SUV for his wife, a BMW 3-series convertible for himself, a John Deere tractor and four ATVs for his family, prosecutors said. The ATVs were adorned with red bows and given as a surprise Christmas gift, prosecutors said.
Mr. Hutcheson also allegedly used nearly $3.3 million in retirement funds to purchase a ski and golf resort in Donnelly, Idaho, through a company he controlled, prosecutors said. One witness said Mr. Hutcheson spent money “like he was a lottery winner,” according to federal prosecutors in Idaho.
Adviser Who Spent Funds Like 'Lottery Winner' Gets 17 Years [WSJ Law Blog]