Michigan Broker Gets 5 Years in $1M Fraud Case

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A northern Michigan insurance broker accused of fleecing elderly clients out of more than $1 million has been sentenced to 5 years in federal prison.

Prosecutors say William Lowder persuaded clients to change their investments and put money in annuities handled by his Traverse City-area office. The government says Lowder instead diverted the money to his own use over an 8-year period.

State regulators suspended his license last year.

In January, the 57-year-old Williamsburg resident pleaded guilty to fraud and tax charges in Grand Rapids federal court.

U.S. District Judge Robert Holmes Bell issued the sentence Wednesday. He also ordered Lowder to pay $1.57 million in restitution and perform 300 hours of community service.