The US Justice Department tells NewsChannel 7 that 62-year old Timothy I. Mathwich of Wausau, the former president of Manson Insurance, is charged in a 24 count indictment for allegedly engaging in a scheme to defraud the River Valley Bank in Wausau.
Prosecutors say Manson would prepare an insurance premium note for a customer to sign and it would be sold to the River Valley Bank. The bank would then pay Manson for the note by crediting Manson's account with the bank or by issuing them a check.
The indictment says between February and December of 2008, Manson prepared notes for customers that did not really exist, costing the bank $1.9 million.
If convicted, Mathwich faces a maximum penalty of 20 years in prison.
David Schofield and Susan Brockman, who also worked at Manson Insurance have both already been convicted in the scheme. Schofield is serving a 5-year prison sentence, Brockman 6-months.
Manson has since been bought by the bank.