Lowell faces sentencing for Ponzi scheme
SANDPOINT — The Piano Man is scheduled to face the music today
Dale Edward Lowell is to be sentenced in U.S. District Court in Coeur d’Alene for orchestrating a Ponzi scheme that fleeced investors to the tune of $2.2 million.
Lowell, a church pianist and former real estate agent in Bonner County, pleaded guilty last year to two counts of wire fraud. He faces up to 20 years in prison, although federal sentencing guidelines recommend a three- to four-year sentence because Lowell has no prior criminal history and his health is declining.
Lowell’s defense counsel, Jaime Hawk, moved for another continuance in order to further prepare for the sentencing hearing. A report documenting Lowell’s health evaluation also remained incomplete, according to Hawk’s motion.
Lowell, a 59-year-old who now lives in Colbert, Wash., was to be sentenced last October, but the hearing was reset to give thedefense more time to prepare for the hearing.
Assistant U.S. Attorney Nancy Cook objected to another continuance and Judge Edward J. Lodge declined the defense request, according to court records.
The defense has filed a series of letters of support and photographs of Lowell as a child, father and a gospel performer in an apparent effort to leaven the prosecution’s assertions that Lowell callously used his social and church connections to draw people into the scheme and then berated those who questioned his actions or expressed unease.
As many as 22 investor units were victimized by Lowell’s scheme, with many losing their life savings. Jeff Bales, one of the investors, said many of his fellow victims are working class people with little investment experience. Some simply were trying to provide for their children’s education or cope with costly medical bills.
“They saw an opportunity to help their family. It wasn’t for profit,” said Bales.
The Idaho Department of Finance won a $2 million civil judgment against Lowell, but victims of the Ponzi scheme have yet to see one cent of restitution.
Federal prosecutors are seeking $1.7 million in restitution, although victims are doubtful they will be made whole because of Lowell’s lack of employment or under-employment.
Lowell was indicted on 13 counts of wire fraud, but 11 of the counts were dismissed after he agreed to plead guilty.