Former Securities Broker Sentenced to More Than 6 Years in Prison for Investment Fraud

Kevin Therrell was sentenced to 75 months in prison to be followed by 10 years of probation after being found guilty of organized fraud over $50,000 and seven counts of securities fraud. This sentence followed Therrell’s open plea to the court. He was also ordered to pay $53,500 in victim restitution.

Therrell, through his business Medex Business Corporation, sold a victim 30,000 shares of Freightcar America Inc., a publicly traded railway freight car manufacturing company. Later, the victim learned that the stock certificates were fraudulent, and he did not own any of the company’s shares. The OFR investigation also revealed that Therrell was cold-calling other potential investors to sell the same purported stock at a significant discount compared to what was being offered on public exchanges.

Therrell was a previously licensed stockbroker, but his license was terminated in 2006 due to a criminal conviction for assault.  The OFR investigation also revealed that Therrell purchased stock for his own benefit and used victim funds to finance his personal lifestyle. The investigation identified five victims of Therrell’s scheme, with total losses exceeding $136,140. 

The OFR was the sole investigative agency in this criminal enforcement action. The Department of Financial Services, Criminal Investigations Division, Bureau of Insurance Fraud provided assistance in securing the defendant’s arrest and the State Attorney’s Office for the 20th Judicial Circuit, Economic Crimes Unit prosecuted the case.

Read the press release.