United States Attorney Matthew D. Krueger announced that on July 8, 2020, Archie G. Overby (age 71; formerly of Waupaca, Wisconsin, and currently of Parker, Texas) was sentenced in federal court following his guilty plea to misapplication of funds by a bank officer, in violation of Title 18 United States Code, Section 656.
According to court filings, Overby had been the President, Chief Operating Officer, and Chairman of the Board of First National Bank in Waupaca. Pursuant to a plea agreement, Overby admitted that starting by 2010 and continuing through 2013, he caused the bank to pay for $1.6 million in travel, entertainment, and other personal expenses for himself, family members, friends, and associates, all of which had no legitimate banking purpose. The expenses included airfare, lodging, and a climbing expedition to Mt. Kilimanjaro, Tanzania, as well as stays at a spa in Arizona and in villas in St. Maarten.
The criminal case followed a civil action by the Office of the Comptroller of Currency (OCC), the bank’s federal regulator. That case, which Overby settled in 2017, resulted in his lifetime prohibition from participation in the financial institution industry, and his agreement to pay $1.6 million in restitution and a $100,000 civil money penalty. After the settlement, however, Overby released a statement asserting that he had admitted no wrongdoing and “never would.” He described the regulator as “overzealous,” claimed to be the victim, and alleged that the regulator improperly had sought to “tarnish his reputation.” As part of his guilty plea, Overby acknowledged not only his criminal conduct but also that the OCC had acted properly and within the bounds of its authority.
Pursuant to the plea agreement accepted by the Court, Senior United States District Court Judge William C. Griesbach did not impose a prison sentence.
Instead, because of Overby’s age and documented and significant health issues, and the potential impact of COVID-19, Judge Griesbach ordered Overby to pay $1.6 million in restitution and forfeit $146,023.35 to the United States.
Judge Griesbach noted that Overby’s criminal conduct, which had gone on for years, was serious and hard to understand, particularly in light of the fact that Overby had been “so well compensated.” Judge Griesbach concluded that it was a betrayal of trust that could only be attributed to “greed and callous disregard for others.” Judge Griesbach explained that “in ordinary circumstances, this case would call for a guideline prison sentence.” However, Judge Griesbach found that due to Overby’s age and demonstrated health issues, exposure to COVID-19 in prison could amount to a death sentence. As such, Judge Griesbach accepted the recommendation that Overby receive a non-custodial sentence.
United States Attorney Krueger stated, “This case serves as an example that professionals who abuse their positions of trust will be held accountable. For years, Archie Overby used his position and authority to treat himself and his family to lavish vacations and to use the financial institution he oversaw as his personal piggy bank. When caught, he tried to portray himself as a victim. I commend the determined work of the regulators and the criminal investigators in bringing Mr. Overby to justice.”
Special Agent in Charge John T. Crawford, FDIC Office of Inspector General, Chicago Region stated “Overby’s guilty plea and sentencing should serve as a warning to others who take advantage of the financial institution industry. Regulators are put in place to monitor the financial industry and law enforcement is at the ready to assist when fraudster’s take advantage of the industry. In this case, our Office, the regulators, and the USAO worked to together to ensure Overby took responsibility for his actions, paid for his actions, and can no longer be in a position to commit further financial institution fraud.”
This case was investigated by Special Agents of the Federal Deposit Corporation-Office of Inspector General and United States Department of Treasury-Office of Inspector General.
The case was prosecuted by Assistant United States Attorney Carol L. Kraft.
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| Component | USAO - Wisconsin, Eastern; |
| OIG | Federal Deposit Insurance Corporation OIG |