William Lamar Rhew, III of Summerfield has entered a guilty plea to multiple charges including wire fraud, money laundering, securities fraud, tax evasion, and failure to file a tax return. The charges are linked to a $20 million Ponzi scheme. Acting United States Attorney Randall S. Galyon made the announcement today.
Court documents reveal that between November 2017 and December 2023, Rhew deceived at least 117 investors out of over $24 million. He convinced victims to invest in his company, Chadley Capital, LLC, which purportedly bought accounts receivable at discounts for profitable resale and offered high returns on investment. However, all these claims were false. Instead of investing the funds as promised, Rhew used them for personal expenses such as purchasing a boat, a beach house, and luxury cars. He also used the funds to make payments to other investors involved in the Ponzi scheme.
Furthermore, from 2018 through 2022, Rhew failed to report nearly $9 million in income to the IRS. As part of his plea agreement, he will pay restitution amounting to $14,868,815.67 to the victims and $3,056,936 to the IRS.
Rhew's sentencing is set for August 22, 2025. He faces up to twenty years in prison along with possible supervised release and monetary penalties.
Acting U.S. Attorney Galyon commented on the prevalence of investment fraud schemes exploiting trust: “Sadly we see an abundance of investment fraud schemes in which perpetrators exploit people who know and trust them.” He emphasized caution against seemingly too-good-to-be-true investments.
Special Agent Donald “Trey” Eakins from IRS Criminal Investigation highlighted their commitment: “Today’s guilty plea represents the dedication of our agency in ensuring the actions of one individual are not at the expense of others.”
FBI Special Agent Robert M. DeWitt warned investors about potential signs of fraud: “It’s unlikely fraudsters will be up front... But there are warning signs.”
The Director of NC SBI remarked on achieving justice for North Carolina citizens: “This guilty plea marks another significant victory in the pursuit of justice for the citizens of North Carolina.”
The investigation was conducted by IRS-Criminal Investigation alongside FBI and North Carolina State Bureau of Investigation with prosecution led by Assistant U.S. Attorney Laura Jeanne Dildine.