Preacher gets 17 1/2 years for stealing millions from churches

<p>A small-town preacher was sentenced to 17 1/2 years in prison Thursday for stealing nearly $9 million from some 1,600 black churches across the country by promising them big returns on small investments.</p><p>Abraham Kennard also was ordered to pay nearly $8 million in restitution, pay almost $600,000 in back taxes and perform 120 hours of community service upon his release from prison.</p><p>Kennard, 46, of Wildwood, Ga., was found guilty by a federal jury in February on 116 counts, including fraud and evasion. Prosecutors said he ran a pyramid scheme that took advantage of the tight network of black preachers to which he belonged.</p><p>Kennard, who was talkative while representing himself during his three-week trial, made no statement at his sentencing. He could have received up to 33 years in prison.</p><p>"These people lost everything they had. Some even lost their church. The court cannot ignore that," U.S. District Judge Harold L. Murphy told Kennard as his sentence was handed down.</p><p>Prosecutors said Kennard claimed his company was developing Christian resorts around the country. He told preachers that for a fee of a few thousand dollars, their churches could be "members" of his company. In return, he promised that in time the churches would get a grant or a forgivable loan of up to $500,000.</p><p>The scheme spread as the trusting ministers told their friends, relatives and fellow pastors. Churches in 41 states received "grants" from Kennard totaling more than $1 billion, prosecutors said.</p><p>"This was a disturbing criminal scheme that preyed on trusting members of the faith community," Assistant U.S. Attorney David McClernan said.</p><p>Kennard had argued during his trial that he was only guilty of being wealthy. "It's not a law against riding in a Cadillac if you don't want to ride in a Volkswagen," Kennard told the jury in his opening remarks.</p><p>Michael Trost, who served as Kennard's standby counsel, said he believed Kennard intended to help the churches. Trost said that Kennard plans to appeal his conviction and sentence.</p><p>"I believe there's some good in him. There's good and bad in everybody," said the Rev. William Bellafant, a pastor from Columbia, Tenn., who was one of Kennard's victims. Bellafant testified as a prosecution witness at the trial yet he hugged Kennard after leaving the stand.</p><p>Prosecutors said Kennard's assets have been forfeited and will be sold to help pay the restitution owed to the many victims.</p><p>Kennard's brother, Laboyce, was found guilty in February of conspiracy to commit money laundering. Prosecutors said he accepted more than $360,000 from his brother. He is set to be sentenced Friday.</p><p>The Kennards' cousin, Jannie Trammel, and stepbrother Alvin Jasper also were indicted on related charges but pleaded guilty and testified at the Abraham Kennard's trial. A lawyer was charged with money laundering and will be tried later.</p>

http://accesswdun.com/article/2005/5/146390