Judge OKs plan to distribute Schrenker's assets
Chris Proffitt/Eyewitness News
Noblesville - Investors defrauded by Marcus Schrenker will get checks soon to pay off what little money is left after his assets were seized and sold.
It was a life of privilege and luxury and Marcus Schrenker had it all - or so it seemed. The story is familiar by now, the fraud, the escape and the prison sentences handed down. The former Geist money manager, who once seemed to have it all, left very little for the people that trusted him investing thousands or even hundreds of thousands of dollars.
"We have forgiven him for his transgressions against us. We're moving on but, as I said, he needs to be held accountable and I think the courts have done their due," said former investor Bill Black.
On Friday, the receiver appointed to collect all of Schrenker's assets submitted a distribution plan to a Hamilton County court that pays back a fraction of the 62 claims filed against Schrenker, 51 of them from investors he scammed.
"Well, they are getting pennies on the dollar. They're not going to get anything near the amount of their losses. But on the other hand, they are getting something," said receiver Wayne Davis.
Of the $556,572.79 recovered, over $139,000 goes to administrative expenses, the IRS gets over $56,000, the Indiana Department of Revenue takes $28,000 plus $56,000 in other claims. Investors are left with just over $276,000.
The Geist waterfront home is gone, along with everything Schrenker owned. If there are any offshore bank accounts where he stashed money, as he claims, authorities say it wouldn't be worth the expense to track them down.
Schrenker is now in prison and could be out in 4-5 years. If there was a movie to be made or a book to be sold - and there may be - it's unlikely that Schrenker will get a dime. He is a man now disgraced who will spend the rest of his life working to payoff the people he fleeced.
Nearly $30 million in claims have been filed against Schrenker and individual investors can file suit to collect their money for as long as Schrenker lives.
Pilot Mystery - See all stories and documents related to this case
From the Associated Press:
A judge has approved a plan under which investors who lost millions in the financial schemes of an Indiana money manager who tried to fake his own death in a plane crash will get back seven cents on the dollar.
Hamilton County Chief Deputy Prosecutor Jeff Wehmueller says Circuit Judge Paul Felix approved the plan Friday in Noblesville to distribute Marcus Schrenker's assets.
An Oct. 12 report said the court-appointed receiver came up with only $556,000 in cash after seizing Schrenker's bank accounts and auctioning his property.
Schrenker, of Fishers, owes $3.9 million to investors whose money he misappropriated and another $9 million to creditors.
The 39-year-old is serving a total of 14 years in prison on securities fraud charges and other charges stemming from the 2009 plane crash.
(Copyright © 2010 The Associated Press. All rights reserved. This story may not be published, broadcast, rewritten or redistributed without the prior written authority of The Associated Press.)