Self-proclaimed pastor gets 8 years for fraud

NORFOLK

Benjamin J. Seigler claimed to have earned $40 million as a solo investor. He told clients he had "more gold chains than Mr. T," bought mansions and owned 10 cars.

But the truth was that Seigler lived in a small apartment, had no income and himself had been swindled by the same scheme he had perpetrated on others - 5,600 others. In a span of just six months, Seigler collected more than $1.4 million.

On Wednesday, a federal judge sentenced Seigler to eight years in federal prison and ordered him to repay every dime.

Seigler, 43, of Pall Mall Street, pleaded guilty earlier to four counts of mail fraud, admitting that he stole the funds by soliciting investments that came to him through the mail.

"I'm sorry," Seigler told the judge. "I acknowledge the mistakes I made, and I learned my lesson."

The government seized about $1.3 million from Seigler and will be able to immediately repay about 92 percent of the victims. Seigler will be obligated to repay the rest when he gets out of prison.

One of Seigler's earliest investors was Chandra Anand of Germantown, Md. Anand said this week that he learned of Seigler's opportunity through a friend in Seattle.

Anand phoned in on one of Seigler's twice-daily conference calls in October 2007 and was hooked on the idea of a quick, high-yield return. An investment of as little as $55 would return $154,000 in just a few months. Seigler called the earnings "blessings" and frequently invoked scripture in his sales pitches.

"God will give us all the blessings next month," Anand recalled hearing Seigler say during one of the calls.

Anand, who owns a marketing company, sank nearly $16,000 into Seigler's "Global Pension Insurance Trust." But none of it ever was invested. Seigler hoarded the money in a local credit union.

During six months of sales pitches, money orders flowed in to Seigler. When the money orders arrived - from across the country and from Canada, Puerto Rico and the Virgin Islands - Seigler would head over to the Norview post office and cash them.

His frequent visits raised suspicions at the post office.

Anand said he also became suspicious around April 2008 when he saw no returns on his money. When his calls went unanswered, he drove to Norfolk and knocked on Seigler's door.

Seigler told him to be patient. The money was sent oversees and the returns were due any day.

"With the blessings of God we will all be fine," Anand recalled Seigler saying.

Seigler had sent a few thousand dollars to an investment called Global Pension Plan, which is run through an Internet site. That money disappeared and he stopped sending more.

When federal authorities obtained search warrants for his house and bank account, they discovered more than $1 million.

They also learned that Seigler was trying to buy a $685,000 house in Chesapeake. He already had used thousands to buy several vehicles and a Harley-Davidson motorcycle. He was arrested before the home sale was finalized.

"The defendant was seeking to spend that money as quickly as he could," Katherine Lee Martin, an assistant U.S. attorney, told the judge at Seigler's sentencing hearing, held Tuesday and Wednesday.

With the money and property forfeited, the authorities obtained around $1.3 million to refund Seigler's victims.

Seigler's lawyer, John Fletcher, asked the judge for leniency, citing his client's assistance in collecting the names of the 5,600 victims and the amounts owed each person.

U.S. District Judge Rebecca B. Smith balked at that, calling Seigler's actions "sheer greed."

"At least, luckily, it did not go on for a lengthy time," she said of the scheme.

Tim McGlone, (757) 446-2343, tim.mcglone@pilotonline.com