Man indicted in $7.9M oil, gas fraud case in Kansas

WICHITA, Kan. (AP) — A Hillsboro man has been indicted in connection to what prosecutors say was a $7.9 million oil and gas scheme.

Acting U.S. Attorney Tom Beall said in a news release that 70-year-old David Lawson was indicted on one count of wire fraud Tuesday.

Prosecutors say that while Lawson was the owner and director of Sonstone Trading LLC, he made a deal to sell 90 barrels a day of crude oil to Parnon Gathering Inc.

Prosecutors say Lawson did not sell the company crude oil, but instead provided raw gas oil. Raw gas oil is a mixture of various refined petroleum products with a lesser commercial value.

It was not immediately clear if Lawson has an attorney. Lawson faces up to 20 years in federal prison.

 

Copyright 2016 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

 

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