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Minnesota Supreme Court approves disbarment of attorney after fraud conviction in bankruptcy scheme – Bemidji Pioneer

ST. PAUL — The Minnesota Supreme Court has approved an agreement disbarring former Willmar, Minnesota, attorney Gregory Ron Anderson from the practice of law for his felony conviction of fraud.

Gregory Anderson

Gregory Anderson

The Supreme Court issued a news release Tuesday, Jan. 3, stating that it had issued an order Dec. 30 in which it approved the disbarment as sought in a petition from the director of the Office of Lawyers Professional Responsibility for Anderson’s alleged professional misconduct.

Anderson, 63, was sentenced in U.S. District Court in St. Paul on Dec. 7 to serve 18 months in prison for a conviction of fraud in the bankruptcy proceedings of former Kerkhoven Mayor James Rothers. Anderson must also serve a year of supervised release following his prison term and pay fines of $20,000.

The federal court found that Anderson had created fake liabilities to create the appearance that Rothers was insolvent when, in fact, Rothers could easily have paid all of his creditors, according to information from the U.S. District Attorney’s office.

Rothers pleaded guilty to fraud Dec. 13 and is serving two years of probation.

Anderson had agreed as part of a plea agreement in his case to voluntarily accept disbarment.

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Former Willmar attorney sentenced for bankruptcy fraud

ST. PAUL, Minn – Gregory Anderson, a former attorney from Willmar, has been sentenced to 18 months in prison for helping a client appear unable to repay his creditors, says United States Attorney Andrew Luger. 

According to Luger’s announcement, Anderson filed a voluntary bankruptcy petition on behalf of his client, James Rothers, on Nov. 3, 2015. Anderson created fake liabilities to make it seem like Rothers was insolvent, when, in fact, he could’ve repaid his creditors with ease.

Rothers had over $1 million dollars in assets including gold coins, separate bank accounts, and uncashed checks. Rothers even paid part of Anderson’s legal fees using a concealed bank account that Anderson helped set up.

An investigation conducted by the Federal Bureau of Investigation revealed that Anderson knew about Rothers’ assets, and conspired to make him appear unable to repay his debt.

Anderson pleaded guilty to one count of fraudulent concealment of bankruptcy assets early August. He was sentenced Wednesday to 18 months in prison followed by one year of supervised release. Anderson will also be required to pay a $20,000 fine.

Rothers pleaded guilty to one count of fraudulent concealment of bankruptcy assets in November of 2019, and will be sentenced

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