LOUISVILLE – Ernest Cadick of Elizabethtown was sentenced to 48 months in prison, ordered to pay restitution in the amount of $719,650, and fined $1,600 in United States District Court Tuesday by Judge John G. Heyburn II.
Cadick, 60, had previously pleaded guilty to a federal indictment charging him with 17 counts of wire fraud. According to court records, from 1994 through 2008 Cadick fraudulently solicited over $718,000 from 17 separate individuals. Court documents show that Cadick represented himself not only as the owner and operator of Kingdom Oil, but as a traveling evangelist and met potential investors at church functions or through contacts with churches.
“This fraud involved a particularly manipulative abuse of trust,” s United States Attorney David J. Hale said. “In these circumstances it is often difficult for victims to step forward, but by doing so, they can keep others from falling prey. Fortunately, the FBI, the Kentucky Department of Financial Institutions worked with prosecutors from my office to put an end to this serious and destructive scheme of fraud.”
Cadick solicited the money under the pretenses of investing the money in, among other things, oil and gas ventures and overseas business ventures. Cadick, however, did not invest the money and spent it for his personal benefit and gain. Court records show that he received over $200,000 from one investor alone. While he told this investor that the money would be invested in oil and gas ventures, he used the money for his personal benefit and never repaid the investment.
Further, Cadick admitted during grand jury testimony in 2006 that there was never any drilling or exploration for oil by his company after 2001.