PEORIA, Ill. — Pere Marquette developers Gary Matthews and Monte Brannan have been indicted in Federal Court on charges of money laundering, mail fraud and conspiracy to commit money laundering.
The 26-page document accuses the men of defrauding investors, including the City of Peoria, by “diverting funds intended for the hotel project and revenue of the hotels for their own use and the use of other business interest.”
The indictment also accused Matthews and Brannan of diverting $750,000 of hotel funds to their personal accounts after the hotel went into foreclosure.
Matthews and Brannan have sued the City of Peoria twice in the past 24 months. The City of Peoria filed countersuits against the men and GEM hospitality.
The charges are felonies that could result in both Matthews and Brannan being put in prison for up to 20 years.
