The owner of a St. Joseph solar energy installation company pleaded guilty in federal court Wednesday to his role in a fraud scheme that totaled nearly $1.4 million in rebates through state and federal programs.

Richard Schonemann, 38, of St. Joseph, waived his right to a grand jury and pleaded guilty before U.S. Chief District Judge Greg Kays to a two-count information that charges him with one count of conspiracy related to false statements in regard to a federal rebate program, and one count of false statements related to kilowatt updates in a federal solar rebate program.

Schonemann was an owner of US Solar in St. Joseph, which sold and installed solar-powered panel systems to businesses and home owners in northwest Missouri. Between 2011 and 2013, Schonemann and US Solar participated in two solar panel rebate programs, one authorized by the state of Missouri and the second administered by the federal government. As a result of this scheme, US Solar received a total of $1,398,236 in fraudulent rebates.

Solar Photovoltaic Rebate Program ($465,360 Fraud Scheme)

According to the plea agreement, US Solar and a co-conspirator were involved in obtaining fraudulent rebates from KCP&L as part of the state rebate program. US Solar overstated the number of solar panels installed on approximately 27 homes or businesses from December 2011 through June 2013. As a result, US Solar was paid $465,360 more in rebates than the company was entitled to receive.

KCP&L administered the state’s Solar Photovoltaic Rebate Program, which was created in 2008 by the state of Missouri and funded by a tax on power customers. The rebate allowed for a payment of $2 per watt, not to exceed $50,000, to customers that installed solar powered panel systems on their homes or businesses. US Solar was one of the larger solar powered panel system installation companies that utilized this rebate program through KCP&L. To utilize the state rebate program, US Solar submitted applications and schematic drawings on behalf of their customers via email to KCP&L. Once the application process was completed, funds were disbursed to US Solar by checks mailed from KCP&L.

American Recovery and Reinvestment Act of 2009 ($932,876 Fraud Scheme)

During the investigation of the state rebate scheme, the FBI uncovered unexplained payments from the federal government to US Solar that led to the discovery of a second fraudulent scheme that was part of the conspiracy.

Schonemann and a co-conspirator obtained fraudulent rebates authorized by the American Recovery and Reinvestment Act of 2009. Under the federal program, the government reimbursed 30 percent of the cost of the installation of a solar-powered panel system leased to the property owner. US Solar received federal funds under this program from August 2011 to September 2013, because US Solar certified they installed systems and leased those systems to the property owners. The certification was false because the systems were owned by customers rather than leased. US Solar submitted forged lease contracts in order to receive the federal rebates.

US Solar received 34 payments from the federal government, totaling $932,876. US Solar was not eligible to receive any of the $932,876 paid under the federal program.

False Statements

Additionally, each year after installation, US Solar was required to certify that the installed systems were still running and report the systems’ output. Schonemann and a co-conspirator provided updates showing kilowatt usage on each of those properties to the federal government in 2012 and 2013. In some instances, Schonemann simply made up the numbers.

A co-conspirator created false paperwork and computer entries using US Solar customer information. The conspiracy involved the use of false paperwork and computer entries, including lease agreements, certification that US Solar retained ownership of the solar-powered panel systems, detailed cost breakdowns on each system and usage reports. Schonemann and a co-conspirator were involved in preparation of the false usage reports.

One of the fraudulent federal payments related to Schonemann’s place of employment, Prolific Technologies, Inc. Fraudulent paperwork was submitted requesting payment for 36 extra panels not installed or leased, resulting in a rebate overpayment of $20,028.

Penalties

Under the terms of today’s plea agreement, Schonemann must forfeit to the government $350,000 that he received from the fraud scheme.

During the course of the conspiracy, Schonemann received payments from US Solar that were described as profit distributions. A significant source for those profit distributions were funds received by US Solar from the federal program. A portion of those funds were used towards the construction of a new house Schonemann built, which is currently listed for sale at an asking price of over $400,000.

Schonemann’s residential property is currently named in a civil judicial forfeiture action. Schonemann will be allowed to market this property and, if the property is sold, the first $350,000 in net equity will be used to pay restitution for the federal program fraud. If there is not a signed real estate contract on the property by Oct. 1, 2015, the civil forfeiture action shall proceed and the property will be forfeited to the government to be sold by the U.S. Marshal’s Service.

Under the terms of today’s plea agreement, the government’s sentencing recommendation to the court will not exceed 15 months in federal prison. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.

This case is being prosecuted by Assistant U.S. Attorney Jane Pansing Brown. It was investigated by the FBI.

Senator Claire McCaskill stopped in St. Joseph Wednesday as part of a statewide tour of Missouri’s agriculture economy.

The Senator met with area leaders at Boehringer Ingelheim Vetmedica to hear about issues surrounding the state’s agriculture needs.

“I think Missourians forget how many different ways agriculture effects economy in our state,” Sen. McCaskill said. “Obviously this company is important to the economic health of northwest Missouri. This is one of the largest vaccination companies in the world and they have chosen the St. Joe area for this major facility and expansion and I am here to learn about the challenges they face in the global economy.”

McCaskill said she’s trying to understand the issues she should be fighting for in Washington D.C.

“I certainly have had visits like this impact things I’m advocating for,” Sen. McCaskill said. “Every stop I learn something else that I need to be working on.”

Her office said that throughout her tour she has met with a variety of producers, ranches, and businesses on Missouri’s agriculture needs.

“We have a long list of things that have to be done immediately when we get back to Washington so it’s going to take people being willing to compromise and listen to one-another which is one of the biggest frustrations we have,” Sen. McCaskill said.

 

Today
Showers and thunderstorms, mainly before noon. High near 87. South wind 6 to 15 mph, with gusts as high as 22 mph. Chance of precipitation is 80%. New rainfall amounts between a tenth and quarter of an inch, except higher amounts possible in thunderstorms.

Tonight
Partly cloudy, with a low around 71. South wind 5 to 11 mph.

Thursday
Mostly sunny, with a high near 90. Heat index values as high as 95. South wind 5 to 13 mph.

Thursday Night
Mostly clear, with a low around 70. South southeast wind 5 to 8 mph.

Friday
Mostly sunny, with a high near 90. Light south southeast wind becoming south 8 to 13 mph in the morning.

Friday Night
Partly cloudy, with a low around 71.

Saturday
Mostly sunny, with a high near 89.

Saturday Night
Partly cloudy, with a low around 71.

Sunday
Mostly sunny, with a high near 89.

Sunday Night
A chance of showers and thunderstorms. Mostly cloudy, with a low around 70. Chance of precipitation is 40%.

Labor Day
A chance of showers and thunderstorms. Partly sunny, with a high near 84. Chance of precipitation is 40%.

Monday Night
A chance of showers and thunderstorms. Mostly cloudy, with a low around 65. Chance of precipitation is 40%.

Tuesday
A chance of showers and thunderstorms. Partly sunny, with a high near 80. Chance of precipitation is 30%

A groundbreaking ceremony for the Advanced Science Research Center at Hillyard Technical Center has been set.

The St. Joseph School District is inviting the public to attend the groundbreaking Friday Sept. 4 at 10 a.m. at Hillyard Technical Center located at 3434 Faraon Street.

Joey Austin with the St. Joseph School District said the plans have been in the works since 2013 on the facility but that it’s been a slow process.

As we previously reported the building will house a science laboratory, as well as strengthen partnerships with Boehringer Ingelheim Vetmedica and the Kit Bond Science and Technology Incubator.

The center’s goal will be to train students of all ages to meet local work force needs.

Donors contributing to the the project include: St. Joseph School District; Boehringer Ingelheim Vetmedica, Inc.; Congresman Sam Graves, (HUD) grant;  City of St. Joseph;  Buchanan County; Hillyard Industries; Commerce Bank; Gray Manufacturing; Allan Lowenburg; SERTOMA.

 

The Livingston County Sheriff’s Department is warning residents of scammers threatening to cut off their power.

The Department said Farmer’s Electric customers may be targeted by fake callers from a 888 phone number threatening to shut off their power in an attempted to steal money and gain credit and personal information.

“We strongly urge our Members to be aware of anyone calling them to demand immediate payment for electric service,” said General Manager Rod Cotton in a statement on Facebook. “When other electric cooperatives have been targeted, the callers claim the electric service will be disconnected unless the bill is immediately paid.”

The Sheriff’s department urges anyone who thinks they’ve been contacted to call the FEC at 1-800-279-0496 or 1-800-927-53341-800-279-0496 or 1-800-927-5334 or the local FEC Office at 66-646-4281.

Individuals who have been a victim of identity theft should contact their local law enforcement agency.

 

The Buchanan County Drug Strike Force said three investigations last week led to the recovery of around $38,000 in drug-related money.

The Buchanan County Sherrif’s Department said on Monday, Aug. 24 investigators from the Drug Strike Force searched a home at 28th and Pear St. There around 28 grams of methamphetamine was seized with a street value of $2,800. 46-year-old Charles Spellmeyer was arrested in connection with the investigation for possession of methamphetamine and an outstanding arrest warrant. Another man was arrested on a warrant unrelated to the investigation.

Then on Wednesday, Aug. 26th, investigators from the Drug Strike Force stopped a 2014 GMC truck in the 1500 block of Pacific. Investigators seized approximately 163 grams of methamphetamine from the truck. The methamphetamine has a street value of approximately $16,000. Investigators also seized over $11,200 in cash. Three people were arrested at the scene for warrants. One suspect, a 30-year-old man, fled the scene and is being sought by investigators.

On Friday August 28th, investigators stopped a car at 4th and Francis Streets in Saint Joseph, Missouri. Tony Walker, 40-years-old, was arrested at the scene for investigation of delivery of a controlled substance. Investigators seized over $3,000 in cash from the car. Investigators then obtained a search warrant for 1602 Brookside Apt 324 in Saint Joseph, Missouri. During the search, investigators seized approximately 60 grams of crack cocaine, with an approximate street value of $6,000. Investigators recovered a stolen handgun and over $11,000 in cash in the apartment. Mr. Walker is being held on a $25,000 bond.

The department said Drug Strike Force investigators have been working on all three of these unrelated investigations for several months. All three investigations have been referred to the Buchanan County Prosecutor’s Office.

(Update 1:00 p.m.) – Charges have been filed against two in connection with the death of a boy who died on his first birthday last week in St. Joseph.

The Buchanan County Prosecutor’s Office filed charges Monday afternoon against 59-year-old Roy Miller Jr. and 28-year-old Sasha Lizar.  Miller is charged with felony abuse of a child resulting in death.  Lizar is charged with first-degree endangering the welfare of a child.

Court documents state that last Monday at a residence located at 3621 Monterey Miller assaulted the child by violently shaking him and causing injury which resulted in substantial brain trauma resulting in his death.  St. Joseph police officer Quentin Abbot said in the court documents that Miller had care custody and control of the child at the time of the incident.

“Stated he will not go back to prison and it would not be unreasonable to believe the defendant would not appear as he is aware he could possibly face a lengthy sentence if convicted,” Abbott said. “The defendant has a lengthy criminal history which includes several convictions for drug related charges and burglary.”

Abbott said Lizar committed endangering the welfare of a child by leaving her infant in a dangerous environment. Court documents state that Lizar used methamphetamine while caring for her child and left him with others who had also ingested methamphetamine.

“For several days in which illegal drugs were routinely used,” Abbot said. “Left the child in the care of subjects who were known to her to use illegal drugs.”

Lizar has prior convictions for tampering with a motor vehicle and resisting arrest.

According to his obituary Sasha’s son, 1-year-old Carter Eugene Lizar passed away on Thursday, his 1-year birthday at a Kansas City hospital.

Funeral services are set for 5 p.m. Wednesday at Rupp Funeral Home in St. Joseph.

If convicted Sasha Lizar could face 2-7 years in prison for the charge of Endangering the Welfare of a Child.  The prosecutor’s office said Miller could serve 10-30 years or life imprisonment without the possibility of parole until after 85% of any sentence has been served if convicted.

 

 

 

MARYVILLE, Mo. –Northwest Missouri State University is seeing one of the largest freshman classes in its history this fall.

The school attributes the increase in its transfer population and undergraduate headcount according to its preliminary enrollment totals released by the Office of Enrollment Management.

Northwest begins its 2015-2016 academic year with a freshman class of 1,478 students, an increase of 11 percent from last fall. Northwest recorded its largest freshman class, totaling 1,498 students, in 2011.

“The freshman class growth is exceptional and helps offset the largest graduating class in Northwest’s history this past spring and huge numbers last December as well,” Northwest President Dr. John Jasinski said, noting those graduating classes of 945 and 542, respectively. “Our enrollment team and so many partners across the institution have taken intentional and strategic steps to ensure this growth and I wish to commend them.”

Additionally, Northwest is projecting increases of nearly 4 percent among transfer students and a little more than 1 percent for its undergraduate student headcount. Northwest’s total headcount stands at 6,415.

The enrollment numbers are preliminary and the University’s official census occurs Monday, Sept. 28.

St Joseph now boasts four new murals on the outside of buildings in the downtown area. One depicts the western expansion. One suggests memories of musical moments past. Another depicts a scene from the city’s Civil War history. And the latest appears to show a stroll in the park.

Three of them were begun within the last month and are still in varying degrees of completion. The latest was added to the Joyce Raye Patterson Senior Center with the help of students at Missouri Western.

Here’s our ongoing progress report.