Brother of Ponzi-scheme mastermind pleads guilty

CLEVELAND

A Warren man pleaded guilty Tuesday in federal court here to 12 counts of wire fraud and money laundering for his role in the $20 million Ponzi scheme he and his brother carried out in 2007 and 2008.

Keelan Harris, 38, will be sentenced for his crimes at 2 p.m. Nov. 6, but it’s unclear how many years in prison Judge Christopher A. Boyko will give him.

Harris was essentially a “clerk” who got the mail, took out the trash and helped his brother with certain technology issues, Atty. Mark H. Allenbaugh said by telephone after Tuesday’s hearing.

But Judge Boyko indicated in an earlier filing relating to whether Harris was eligible for bond that Harris faces a possible prison term of more than 15 years.

Allenbaugh says Harris’ sentence will be determined by what role Judge Boyko believes Harris played in the scheme, which operated out of the Complete Developments office on Parkman Road Northwest in Warren.

Allenbaugh says Keelan Harris’ brother, Kevin Harris, 49, who started serving a seven-year prison term in March 2012 for his role, was the “silver-tongued” mastermind of the scheme.

Prosecutors say Keelan Harris is responsible for the same amount of financial loss as his brother — about $15.7 million — but Allenbaugh plans to argue that the real amount is “under $150,000.”

Read the complete story in Wednesday's Vindicator or on Vindy.com.