DES MOINES, IA – A federal grand jury in Des Moines returned an indictment on April 19, 2023, charging a Clive man with seventeen counts of mail and wire fraud, one count of conspiracy to commit mail and wire fraud, and two counts of money laundering over $10,000.

As alleged in the indictment, 46-year-old Zachary James Flaherty used his position as an insurance agent and annuity salesperson to defraud elderly individuals out of their retirement savings and other monies. To do that, Flaherty misrepresented information to and concealed information from his clients, including information relating to: the returns and bonuses his clients would receive by investing with him; the clients’ ability to make penalty-free withdrawals from their investments; and the losses clients could incur.

After the clients agreed to invest money with Flaherty, he continued to misrepresent and conceal information, including information regarding: the returns clients were earning; the amount of money clients had invested with him; and the costs associated with withdrawing funds or cancelling their investments.

In addition, Flaherty encouraged victims to write checks to Flaherty personally and his businesses, including Midwest Senior Solutions Retirement Group, Inc. and Infinity Construction Group, LLC. At the same time, Flaherty misrepresented and concealed information about what he would do with the funds he received from the victims. Instead of depositing or investing the funds on the victims’ behalf, Flaherty deposited the funds into accounts he controlled, and he then used the funds for his own purposes and benefits, including to buy a boat and pay his mortgage and vehicle loans.

The indictment alleges that Flaherty’s conduct affected twelve specific victims in Iowa and Nebraska. On behalf of those victims, Flaherty obtained at least thirty-five annuities. Those twelve victims lost over $900,000 in charges, taxes, and fees in relation to their annuities. Those victims also wrote checks to Flaherty personally and his businesses which totaled over $1 million.

Further, the indictment alleges that Flaherty defrauded insurance companies out of commission payments. To do so, Flaherty caused annuity paperwork to be submitted to insurance companies which included misrepresentations and concealed information. Among other things, Flaherty submitted paperwork containing forged policyholder signatures. As a result of the annuity policies issued for the twelve victims in Iowa and Nebraska, insurance companies awarded commissions of over $650,000.

Finally, the indictment alleges that Flaherty conspired with another individual to commit mail and wire fraud. Flaherty and a co-conspirator agreed to execute and attempt to execute a scheme to defraud elderly individuals, primarily individuals in the Kansas City area. If convicted, Flaherty faces a maximum penalty of twenty years in prison on each count.

United States Attorney Richard D. Westphal of the Southern District of Iowa made the announcement. The Iowa Insurance Division’s Fraud Bureau and the Federal Bureau of Investigation are investigating the case, with assistance from the Des Moines Police Department, Clive Police Department, and the Iowa Department of Public Safety’s Division of Criminal Investigation. Assistant United States Attorney Kyle Essley is prosecuting the case.

(Creston, Iowa) – One person was injured during an accident in Creston, this (Friday) afternoon. According to Creston Police, 65-year-old Haley Harrigan, of Creston, complained of pain following a collision on Highway 34. She was transported to the Greater Regional Medical Center by ambulance, to be checked out.

The accident happened at around 12:10-p.m. Authorities say a 2014 Chevy Equinox (SUV) driven by 67-year-old Kenneth Kile, of Shannon City, was eastbound on Highway 34, at the same time a 2016 Chevy Trax compact SUV driven by Harrigan, was traveling westbound, and in the process of turning left, into the Casey’s Store parking lot, in Creston.

Harrigan looked, but did not see the oncoming SUV, which struck her SUV on the right rear side. The Chevy was disabled by the collision. The Equinox was damaged, but able to be driven away from the scene. No citations were issued. The damage to both vehicles amounted to $2,200.

(Radio Iowa) – Thanks to a sudden social media buzz, the Iowa Department of Natural Resources is seeing a renewed surge in demand for its big, blue, recyclable litter bags — which are free. Todd Robertson, the DNR’s river programs outreach coordinator, says the effort was launched 14 years ago and was originally designed for canoe paddlers and kayakers, so they could haul out any trash they might see or generate during an outing.

“But then everybody started seeing these bags and so everybody wanted to start using them and we thought that was a great idea,” Robertson says. “Whether you’re just an equestrian, or a bicyclist, or a picnicker, or a hiker, whatever you want to do, so we’re making them available to everyone.”

The bags are about the size of an onion sack, with a drawstring at the top, and they’re made of a durable blue mesh. They’re light weight and fold up so they can be stuffed in a tackle box, a backpack or your glove compartment.

“It’s not like taking a plastic bag out on your outing and filling it with trash and having it tear and then garbage spills everywhere and then you have litter all over the place,” Robertson says. “These are very strong bags that are recyclable, and the real important thing here is that they’re reusable. If you rinse it out, and maybe just hang dry it, you’re able to take it out and use it again.”

Over the past 14 years, Robertson says the state’s given away around 30,000 of the bags and they’ve just gotten in a fresh shipment, each emblazoned with the motto: “Keep It Clean, Keep It Fun!”

“It’s great to have free stuff, but to have something that you can actually utilize in making the environment better? People are all over that these days,” Robertson says. “They will do anything and take anything that will help them accomplish that goal, and that’s what this tool does. And we look at it like that, it’s a tool, but it’s a gift to everybody out there. We have plenty of them and I’m happy to send them out to anybody.”

To get one or two free bags, email Robertson direct at: todd.robertson@dnr.iowa.gov, or order through the Google doc address HERE.

(Radio Iowa) – The Kum & Go convenience store chain that began with a single store in Hampton, Iowa, is being sold.

A Utah based company plans to acquire over 400 Kum & Go stores. Terms of the sale are not being disclosed according to a Kum & Go news release. Kum & Go stores are primarily located in Iowa and the Midwest. Salt Lake City-based Maverick has nearly 400 convenience stores in a dozen western states.

Maverick is owned by a private firm that had been a co-owner of Pilot Flying J truck stops, but was bought out by Berkshire Hathaway earlier this year.

Sixty-three years ago, Bill Krause and his father-in-law Tony Gentle started the Hampton Oil Company. Tanner Krause, the fourth generation of the family to lead Kum & Go, said in a written statement that Maverik will be “good stewards” of Kum & Go “for generations to come”.

There’s been no announcement of whether Kum and Go stores will retain the chain’s name or be rebranded as Maverik stores once the sale is completed. Kyle Krause is the CEO of the family-owned Krause Group, which is selling the Kum & Go chain. The Krause Group owns the Des Moines Menace semi-pro soccer team, an Italian soccer team as well as two wineries and a hotel in Italy and a real estate development firm.

(Western Iowa News) – A Sioux City, Iowa, man illegally armed with a loaded gun, was sentenced on April 13, 2023, to more than 5 years in federal prison. According to the U-S Attorney’s Office for the Northern District of Iowa, 41-year-old Devine Shawn Felder, aka “Ketchup”, originally from Louisiana, received the prison term after a December 19, 2022, guilty plea to 1 Count of Possession of a Firearm by a Felon.

Evidence in the case showed on or about July 22, 2022, as Sioux City Police Officers attempted to contact Felder regarding an active felony warrant, he fled on foot. Felder was stopped a short distance away in possession of a loaded handgun with a round in the chamber. Felder has previously been convicted of burglary on an inhabited dwelling, battery, felon in possession of a firearm, domestic abuse battery, assault causing bodily injury, criminal mischief, and aggravated assault. As a result, Felder is incapable of legally possessing a gun.

Felder was sentenced in Sioux City by United States District Court Chief Judge Leonard T. Strand to 70 months’ imprisonment. He must also serve a 3-year term of supervised release after the prison term. There is no parole in the federal system. Felder is being held in the custody of the United States Marshal’s until he can be transported to a federal prison.

This case was brought as part of Project Safe Neighborhoods (PSN). PSN is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.

(Western Iowa News) – A Crawford County man found unconscious, behind the wheel of another person’s vehicle on a private landowner’s property while in possession of a shotgun and a handgun, was sentenced April 13, 2023, to 7 years in federal prison. The U-S Attorney’s Office for the Northern District of Iowa reports 42-year-old Nickolas Schwenn, from Denison, Iowa, received the prison term after a November 10, 2023, guilty plea to one count of possession of a firearm by a felon and drug user.

Evidence in the case showed Schwenn was found on December 12, 2021, by a landowner on private farm ground, unconscious behind the wheel of a vehicle. When law enforcement arrived, they found Schwenn asleep in the driver’s seat of a Pontiac Bonneville which had license plates registered to a different vehicle. Law enforcement also observed a shotgun on the rear floorboard of the vehicle and a handgun in the door pocket of the driver’s side door. The deputy, who recognized Schwenn and knew him to be a felon, woke Schwenn and directed him to exit the vehicle, at which time Schwenn began to argue with the officer. Schwenn then put his vehicle in drive and rammed a cow gate in front of his vehicle. He then put his vehicle in reverse and rammed his vehicle into the front of the landowner’s vehicle. Officers, threatening Schwenn with a taser, got him out of his vehicle and placed him under arrest. Schwenn also advised that he had drugs in his pocket; however, no drugs were found on his person.

Schwenn was not capable of legally possessing a gun as a result of a conviction for burglary. Schwenn has additional convictions for eluding law enforcement. He was sentenced in Sioux City by United States District Court Chief Judge Leonard T. Strand to 84 months’ imprisonment. He must also serve a 3-year term of supervised release after the prison term. There is no parole in the federal system. Schwenn is being held in the United States Marshal’s custody until he can be transported to a federal prison.

The case was investigated by Crawford County, Iowa Sheriff’s department and Monona County, Iowa Sheriff’s department and was prosecuted by Assistant United States Attorney Forde Fairchild.

(Des Moines,Iowa) – Iowa Republican Representative Tom Moore, from Griswold, said in his latest “Legislative update,” that “The end is near…,” at least with regard to the last week of the 90th General Assembly. Moore said “It looks like we finally have agreed to budget numbers with the Senate and the Governor. This allows for the start of the budget process and budget bills will soon come to the floor for action.

How each budget will spend their dollars is not yet agreed upon but that is nearing the end as well, according to Moore. He said also, the Iowa House, this past week, passed House File 1 (now House File 718)—property tax reform with a 93-1 vote. The bill does four major things to provide all Iowa property tax payers with immediate and direct property tax relief.

Division II of the bill, he say, puts a 3% limitation on how much a property tax payer’s bill can increase year over year. The division outlines a property tax increase limitation on a per parcel basis for qualified parcels. This is on the actual amount of property taxes paid (not the assessment). This division’s limitation does not limit taxes levied as a result of a voter-approved levy or a debt service levy.

Division III of House File 718, according to Thomas Moore, rounds out Iowa’s version of Truth in Taxation and works to get more information in the hands of property tax payers. With this information they will be more informed about how assessments and levies are working together in their area. This division also provides that if all of the information from all taxing jurisdictions is available in a timely manner—everything should be on one notice for the taxpayer

Finally, Division IV of the bill simply states that all special elections by any political subdivision for bonds or other debt must be on the first Tuesday after the first Monday in November of each even-numbered year. (Bond/Debt elections will be on the same day as the General). Additionally, it provides that the commissioner of elections will send notice of a bond election to eligible voters 10 to 20 days before the election. The notice must contain the full text of the public measure to be voted on.

Prioritizing certainty and sustainability for property taxpayers over ballooning assessments, Moore says, will continue to be a driving force in the House. The Iowa House of Representatives this past week, also passed SF318 which Moore says creates the Iowa Registered Apprenticeship Act and establishes the Iowa Office of Apprenticeship within the Department of Workforce Development.

Iowa House Representative Moore serves District 18, which covers most of Cass and Montgomery Counties, and a portion of Page County.

April 21, 2023 (DES MOINES, IA) – Today (Friday), the Iowa Economic Development Authority (IEDA) Board approved awards for three Iowa companies, which will assist in the creation of 310 jobs and result in nearly $360 million in new capital investment for the state. These projects are located in Clinton, Norwalk and Rock Valley. The board also approved two grants through the Entrepreneurial Investment Award (EIA) program to western Iowa entities. The awards for the latter two grants were presented to:

Hub712, coordinated by Carroll County Growth Partnership, provides a centralized space to offer rural Iowans a variety of business services and resources in the west central Iowa region. Entrepreneurs will have access resource providers, co-working space, startup business services, a prototype lab, succession planning and more. Hub712 was awarded a $200,000 grant from the EIA program to support startup costs for the first year, including outreach, contract specialists and personnel.

Morningside University, collaborating with Iowa’s West Coast Initiative, Siouxland Economic Development Corporation and Drake University, created a partnership to support rural entrepreneurial growth in the Siouxland region through technical assistance, education and community-centered mentoring. The program aims to serve socially and economically underserved individuals, immigrant and refugee populations, young entrepreneurs and others that might lack access to the resources and professional networks for success. Morningside University was awarded a $360,650 grant from the EIA program to be used over two years for personnel, outreach, mentoring and supplies, with year two funding contingent upon year one contract completion.

Award recommendations for these funds are made by the EIA Review Committee to the IEDA Board for approval. The Entrepreneurial Investment Award (EIA) program provides financial assistance to service providers that offer technical and financial assistance to entrepreneurs and startup companies seeking to create, locate or expand a business in Iowa. The award is in the form of a grant through a competitive application process.

The three companies and their related projects receiving economic assistance awards include:

Atlas Roofing to construct new facility in Clinton: Atlas Roofing Corporation’s 33 North American facilities manufacture products across four major divisions: shingles and underlayments, molded products, roof and wall insulation, and web technologies. The company plans to construct a 440,000-square-foot asphalt shingle plant on 148 acres in Clinton. The project represents a $212 million capital investment and is expected to create 117 jobs incented at a qualifying wage of $19.57 per hour. The board awarded tax benefits and a $750,000 forgivable loan through the High Quality Jobs (HQJ) program.

Michael Foods to increase capacity in Norwalk: A subsidiary of Michael Foods, Inc., M.G. Waldbaum Company is the nation’s largest processor of value-added eggs. The company plans to add 132,000 square feet and acquire machinery and equipment to increase capacity at their Norwalk facility. The project is expected to create 186 jobs, of which 25 are incented at a qualifying wage of $30.38 per hour. It represents a capital investment of $146 million and the board awarded tax benefits through the HQJ program.

Valley Plating to expand Rock Valley facility: Valley Plating, Inc. is a zinc electroplating producer that offers metal finishes to customers that include Harley Davidson, John Deere and others in Iowa, South Dakota and Minnesota. The company plans to expand their facility in Rock Valley by 16,000 square feet to install an anodizing line for aluminum products. The project represents a nearly $1.9 million capital investment and was awarded tax benefits through the HQJ program. It is expected to create seven jobs, of which three are incented at a qualifying wage of $23.57 per hour.

(Radio Iowa) – The Iowa Senate has confirmed former Muscatine County Attorney Alan Ostergren to a seat on the Iowa Racing and Gaming Commission. Senator Mike Bousselot, a Republican from Ankeny, says Ostergren will bring a level-headed and analytical approach to the role. “Somebody who’ll look at the laws that are in place, the regulations that are in place and then the facts that are presented to him,” Ostergren says.

All 34 Republicans and one Democrat in the Senate voted to confirm Ostergren for the post. Fifteen Democrats voted no. The Senate’s Democratic leader says Democrats did not have a chance to speak with Ostergren about his philosophy on gaming issues. Ostergren is currently president and chief legal counsel of the Kirkwood Institute, a law firm that takes on conservative causes.

Ostergren successfully represented the 2020 Trump campaign in its challenge of the decison by three county auditors to mail out voter registration forms that were not blank, but contained voter information. Ostergren also led the challenge of the nominating petitions U-S Senate candidate Abby Finkenauer presented for the 2022 Democratic Primary and applied for a seat on the Iowa Supreme Court in 2019.

(Atlantic, Iowa) – The Atlantic Chamber Ambassadors hosted Barb Jorgensen, owner of The Little Cobbler, at the Rock Island Depot on Thursday, April 20th, 2023, to celebrate her career and retirement.

The Little Cobbler was established by Barb’s father in 1946 and was originally located at 417 Chestnut Street. Barb started working for her father at a young age and she shared memories of shining shoes for $.50 using a shoeshine stand that her father made. The Little Cobbler has been a long-standing source for shoe, boot, leather, zipper repair and alterations but even more, the business has provided a place to reminisce and share ideas. As much as Barb has enjoyed her career, she looks forward to spending time on her acreage with her granddaughters and horses.

Left-to-right: Atlantic Chamber Exec. Director Bailey Smith, Barb Jorgensen, Chamber Programs Dir. Kelsey Beschorner; Behind Barb is Chamber President Brian Ruge.

During the visit, the Atlantic Area Chamber of Commerce presented Barb with a retirement award in appreciation for her many years of dedicated work to the Atlantic and surrounding communities. The Atlantic Area Chamber wishes Barb all the happiness during her well-earned retirement.