Wednesday, February 4, 2015

A FEDERAL JURY CONVICTED A FORMER NEBRASKA BUSINESSMAN ON TUESDAY OF HIRING AN ACQUAINTANCE TO BURN DOWN HIS TROUBLED MANUFACTURING BUSINESS IN AN ATTEMPT TO GAIN $4 MILLION IN INSURANCE MONEY





A FEDERAL JURY CONVICTED A FORMER NEBRASKA BUSINESSMAN ON TUESDAY OF HIRING AN ACQUAINTANCE TO BURN DOWN HIS TROUBLED MANUFACTURING BUSINESS IN AN ATTEMPT TO GAIN $4 MILLION IN INSURANCE MONEY


February 3, 2015

Omaha, Nebraska, USA

A federal jury convicted a former businessman on Tuesday of hiring an acquaintance to burn down his troubled manufacturing business in an attempt to gain $4 million in insurance money.

After a day and a half of deliberation, the jury found Thomas Schropp, 53, guilty of six criminal charges including arson and mail and wire fraud.
http://imagec18.247realmedia.com/RealMedia/ads/Creatives/default/empty.gifSchropp faces a mandatory minimum federal prison sentence of 15 years for the arson conviction and up to 20 years in prison for the mail and wire fraud convictions.

Schropp plans to appeal the jury’s verdict, said Alan Stoler, Schropp’s defense attorney.
Assistant U.S. Attorney Russ Mayer said Schropp had plenty of financial motive to want his agricultural sprayers business gone. The federal government presented evidence that PK Manufacturing had mounting debt, about $ 5 million, that Schropp couldn’t pay.

The prosecution said that’s why PK Manufacturing was intentionally set on fire on the morning of Nov. 20, 2008, by one of Schropp’s associates.

William “Billy” Richards testified Schropp asked him to burn down his building for $20,000. Richards claimed he set multiple fires at the manufacturing facility. He has pleaded guilty to malicious destruction of a building by fire and is facing seven to 9½ years in prison.

Schropp filed a claim with his insurance company for about $4 million after PK Manufacturing was destroyed by the fire. The insurance company denied his claim.

Schropp is scheduled to be sentenced May 1.

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Arson Trial Begins over 2008 Fire at Nebraska Plant


January 22, 2015

A federal trial has begun for an Omaha, Neb., businessman accused of paying someone more than six years ago to set fire to his manufacturing plant in eastern Nebraska.

A prosecutor said in his opening statement on Jan. 20 that Thomas Schropp hoped to gain around $4 million in insurance proceeds for the destruction of his PK Manufacturing plant near Fort Calhoun.

Defense attorney Alan Stoler said the government can’t prove beyond a reasonable doubt that Schropp was involved with the Nov. 20, 2008, blaze.
Schropp’s business was ailing, having lost its largest customer in late 2007, the prosecutor said.

“PK Manufacturing was in the financial dumpster in November 2008,” Mayer said, adding that Schropp owed nearly $5 million to banks at that time. Schropp co-owned the business with his uncle.

Mayer said Schropp promised a painter, Billy Richards, $20,000 if he’d torch the plant, according to the Omaha World-Herald.

Richards has since pleaded guilty to malicious destruction of a building. He’s expected to testify against Schropp, as is Richards’ live-in girlfriend at the time, Julie Winkelbauer. She has said she drove Richards to PK Manufacturing the night of the fire and that she received some of the $8,000 Richards got from Schropp. Mayer said Schropp never paid Richards the remaining $12,000.

Schropp’s attorney said Richards is hoping to receive a reduced sentence in exchange for his testimony. Winkelbauer agreed to testify only if the government would not prosecute her.

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Explosive Blaze Challenges Nebraska Firefighters

Story by ketv.com On Nov 21, 2008



OMAHA, Neb. -- 

Ten firefighting agencies were called to a large building fire in the unincorporated town of Nashville, Neb., south of Fort Calhoun around 4 a.m. Thursday. 

Flames could be seen from three miles away as firefighters worked to subdue an intense blaze that was fed by exploding oxygen and propane tanks.
Nashville Fire Chief Mike Smith said his team essentially surrendered the P-K Manufacturing plant's north side to the fire and focused on protecting the south side. 

The company makes agricultural spraying equipment, garden sprayers and custom steel products. Several explosions from propane and oxyacetylene tanks rocked the 85,000-square-foot building. 

Fire officials said the biggest challenge in battling the blaze was the water supply. The nearest hydrant was more than five miles away. Tankers from several nearby fire departments were used to truck in water. 

Investigators said about 30 percent of the building was not damaged, leaving its owner, Tom Schropp, somewhat optimistic about the future.
"Hopefully, we can salvage a piece of it and start moving forward," Schropp said. 

Investigators have not determined a cause for the fire.
There were no injuries.