The United States Department of Justice
Welcome to the District of Kansas

FOR IMMEDIATE RELEASE
News releases are available at www.usdoj.gov/usao/ks/press.html

Contact: Jim Cross
PHONE: 316-269-6481
FAX:      316-269-6420

Dec. 5, 2008

CALIFORNIA MAN SENTENCED FOR CHEATING FAMILY, FRIENDS IN KANSAS

WICHITA, KAN.—David E. Burkholder, 55, San Francisco, Calif., has been sentenced to 46 months in federal prison for raising more than $500,000 by making fraudulent claims to family and friends in Kansas.

In September, Burkholder pleaded guilty to 24 counts of wire fraud and agreed to pay $548,000 in restitution to victims.

In his plea, he admitted that from 2003 through April 2005, while he was living in California, he fraudulently persuaded his parents in McPherson, Kan., to raise $548,000 on his behalf from friends and members of their church. In furtherance of his scheme, Burkholder made:

– False claims he owed singer Barbra Streisand in excess of $100,000 to terminate a contract between her and his partnership.
– False claims he needed money to settle a personal injury lawsuit in which a woman was claiming to have miscarried due to the accident.
– False claims that one of his business partners had been killed in a tsunami and he needed cash to give the deceased partner’s family.
– False claims that he would repay people who gave him money by selling his rental property on Aztec Street in San Francisco.
– False claims that he was going to be paid a $1 million signing bonus when his partnership incorporated.

As a result of Burkholder’s false statements, his parents caused funds to be transmitted by wire transfer from McPherson to San Francisco.

Parker commended the Federal Bureau of Investigation and Assistant U.S. Attorney Alan Metzger for their work on the case.