Arrest of third man involved in money-laundering scheme
Weigel was involved in the theft of $100,000.
DES MOINES — State investigators arrested a third man in what officials are now calling a $500,000 money-laundering and kick-back scheme involving Iowa Department of Transportation land sales and contracts.
Jason A. Weigel, 30, of Nevada, faces felony counts of ongoing criminal conduct, fraudulent practices and identity theft, stemming from an ongoing investigation that came to light because of a whistleblower tip in May 2011.
“He was involved in a number of efforts to move the proceeds from some land transactions, so in essence he was involved in theft of Department of Transportation money,” Iowa Department of Public Safety Assistant Director Gerard Meyers said at a Des Moines news conference where he announced the charges against Weigel.
In April, Weigel’s father, David, also of Nevada, was arrested and charged with several felonies on allegations that he used his position overseeing land acquisitions for the department to enrich himself.
Also arrested at the time was Grady Marx of Sioux City, who is accused of conspiring with David Weigel in the scheme.
Meyers also announced additional charges against David Wiegel and Marx related to the alleged scheme on Tuesday. Both men are free on bond and scheduled in court early next year. A court date for Jason Weigel, who was charged while in prison at the Fort Dodge Correctional Facility where he is serving a prison sentence on an unrelated drunken driving charge, has not been set. Authorities say the younger Weigel was involved in the theft of $100,000.
Meyers said the investigation is ongoing and could result in more arrests. He also praised the work of the Iowa Financial Investigation Team, a six-month-old unit tasked with investigating financial crimes.
“We are going over each transaction,” Meyers said.