A San Bernardino pastor and onetime metropolis council candidate was arrested this week on suspicion that he swindled longtime pals and a nonprofit company tied to a different church out of greater than $230,000, in keeping with federal authorities.
Terrance Owens Elliott, who was arrested Thursday, has been charged with 11 counts of wire fraud, in keeping with the U.S. lawyer’s workplace in Los Angeles. The 60-year-old Crestline resident has pleaded not responsible and is free on a $9,000 bond.
Elliott’s federal public defender didn’t instantly reply to a request for remark Saturday.
In accordance with the indictment, from October 2019 to February 2023, Elliott — representing himself as working within the San Bernardino metropolis authorities and being concerned with the police division — defrauded a number of longtime pals.
Elliott allegedly satisfied one pal, recognized solely by her initials, M.C., to position inheritance cash right into a belief that he would set up and administer. He claimed that she would lose her Medicare and Social Safety advantages if she obtained the inheritance immediately, in keeping with the indictment.
The belief, for which Elliott was co-trustee, offered that the cash could be used for M.C.’s monetary wants throughout her lifetime and for her funeral bills, in keeping with the indictment. Any remaining property would cross to M.C.’s three kids upon her demise.
When Elliott opened a checking account within the belief’s identify, he allegedly listed solely himself as a trustee and gave the financial institution a fraudulently modified copy of the belief settlement that listed him as having sole energy to make funds from the account, in keeping with the indictment.
Elliott allegedly wrote checks and made on-line transfers to a church — recognized solely as “Church A” — that weren’t permitted below the belief settlement. In accordance with the indictment, he additionally used belief cash to buy postal cash orders to pay the church’s hire.
A few of the cash additionally allegedly went towards Elliott’s private bills, together with restore of a Chevrolet truck, Nike sneakers, a piano, clothes and an prolonged guarantee for a motorbike.
Elliott additionally allegedly gained entry to M.C.’s account at a unique financial institution and transferred round $27,164 price of a few of her month-to-month Social Safety funds to the church, in keeping with federal authorities.
When M.C.’s household requested Elliott in regards to the belief account or for financial institution statements, he “lulled them into compliance by getting upset and telling them that every part was below management,” in keeping with the indictment.
After M.C. died, Elliott allegedly tricked one other particular person — recognized as W.H. — into paying somewhat greater than $8,600 for funeral bills, falsely claiming that he wanted a choose’s authorization earlier than cash within the belief account could possibly be launched.
Elliott allegedly defrauded 4 victims, together with M.C. and W.H., out of somewhat greater than $150,200, in keeping with the U.S. lawyer’s workplace.
One other alleged scheme started in June 2021, after authorities say Elliott suggested W.H. on promoting a home. After the house was offered, Elliott urged that W.H.’s company lend M.C.’s belief $65,000, falsely claiming this is able to keep away from capital positive aspects tax from the sale, in keeping with the indictment.
The indictment alleges Elliott ready a mortgage contract between the company and the belief and informed W.H. that he would switch $65,000 from the company to the belief account and that the belief would repay it with 10% annual curiosity. He additionally allegedly satisfied W.H. to present him a number of signed clean checks from the company’s checking account.
Elliott allegedly used one of many clean checks to make an unauthorized switch of $16,000 to Church A, in keeping with the indictment. Elliott allegedly transferred $49,000 to the belief, however by no means repaid any a part of the $65,000 mortgage.
In one other alleged scheme, which authorities say ran from September 2018 to June 2021, Elliott used his relationships with a church, recognized solely as Church B, and its board of administrators to assist handle litigation bills and different prices involving them and an entity recognized solely as Nonprofit Company A.
In accordance with the indictment, Elliott allegedly lied to the nonprofit and Church B’s board of administrators that the nonprofit owed cash to W.H.’s company for providers associated to a lawsuit in opposition to them. Because of this, the nonprofit issued roughly 32 checks to the company, which Elliott allegedly later deposited in a checking account that he managed.
Elliott allegedly defrauded the nonprofit out of round $23,300.
In complete, authorities say Elliott’s schemes value victims roughly $238,563.
The San Bernardino Solar reported that Elliott ran for a metropolis council seat in 2022 — a bid that was not solely unsuccessful, however dropped at mild legal convictions and civil lawsuits in opposition to him.
If convicted, Elliott may resist 20 years in federal jail for every rely.