‘Reprehensible’ former Forest Hills broker sentenced for stealing clients’ money

ADA TOWNSHIP, Mich. (WOOD) — A former Ada-based investment broker violated his bond conditions when he repeatedly visited out-of-state casinos, according to the state attorney general’s office.

Jaime Westenbarger, 47, was in a Grand Rapids courtroom Wednesday for sentencing on charges he embezzled $260,000 from three clients of the now-defunct Forest Hills Financial.

“While our victims were suffering financial loss and dealing with the consequences of losing this money, the defendant was out living his best life,” said Jennifer Walker, the assistant attorney general who prosecuted the case.

Walker told Judge Scott Noto the Attorney General’s office recently received records from MGM Casinos which showed Westenbarger still has an active Player’s Card.

The disgraced investment advisor moved to Tennessee after he was permanently barred from selling securities in 2019.

“(The MGM records) also show that… the defendant has left the state of Tennessee at least six times, it appears, to go to the casinos in Biloxi, in Las Vegas, and in Detroit,” reported Walker.

Westenbarger’s attorney said he had not had time to verify the state’s information because he learned about it minutes before sentencing.

“More importantly, to myself and to Jaime, is to make sure that the victims in this case get paid back in full,” defense attorney Scott Grabel told Target 8 after the sentencing. “Jaime’s most important goal is to make sure all the victims in the case are made whole.”

Under a plea deal, if Westenbarger repaid $160,000 prior to sentencing, the AG agreed to dismiss several criminal counts and the court would sentence him to no more than thirty months in prison.

Westenbarger paid the required amount.

2.5 to 20 YEARS IN PRISON

Despite the alleged bond violations, the state asked Noto to abide by the plea deal, which he did, sentencing Westenbarger to at least two and a half years in prison and no more than twenty years.

Three victims testified at the hearing, including Justin Wynn, whose father, Lance, was a Westenbarger client and victim.

“Westenbarger was considered by my family to be a friend,” said Justin, who was a photographer at News 8 in 2019 when he discovered that Westenbarger had stolen $60,000 from his father. “He would invite us to baseball games at Fifth Third Ball Park to cheer on the West Michigan Whitecaps. He invited my father to enjoy a Thanksgiving meal. It was years later that we found out that all these actions were only to gain our trust.”

Justin was concerned Noto might reduce Westenbarger’s prison sentence so he could continue to work and make payments to victims.

“Please do not consider his ability to pay us back if he is in jail,” Justin told Noto. “We do not need the money as much as we need justice for Lance Wynn.”

In fall 2019, Lance fell ill and soon required care beyond the family’s ability.

When the Wynns asked Westenbarger to pull cash from a CD to help cover the expense, they learned the money was not there.

“Jaime told (my brother) the money was not in a CD but that he took it out as a personal loan instead,” Justin testified. “He even asked my brother to come in to the office to sign paperwork stating that was the original intent.”

A married couple that lost $200,000 to Westenbarger’s scheme said he tried to convince them to sign a promissory note too.

VICTIM: THE AUDACITY WAS ASTOUNDING

“To blatantly steal money that (was to be invested) and then to ask us to lie about it and call it a loan was contemptible and outrageous,” Sarah Morrison testified at sentencing. “The audacity of asking us, the victims, to aid in covering up a crime was astounding and profoundly insulting.”

Morrison said she and her husband never answered another phone call from Westenbarger.

The couple, who’d been preparing to sell their business and plan for retirement, instead found themselves dealing with state and federal agencies, paperwork, phone calls, anxiety and stress.

“We cannot get that time back.” said Sarah. “I would ask that Mr. Westenbarger, or anyone directed by him, should not ever have anything whatsoever to do with any money.”

Justin Wynn addressed Westenbarger directly.

“If there ever comes a day when you realize what you have done is wrong, do not bother coming to us to seek forgiveness. You will never get that from my family.”

Westenbarger told the judge he would not provide “excuses” or “stories on why things happened the way they did.”

WESTENBARGER ‘HORRIBLY EMBARASSED’

“The situations that occurred, the money, is something I’m horribly embarrassed by,” said Westenbarger. “I think It’s completely awful. I would feel the exact same way that these people feel. I have no excuse for it. I had a thriving business. I had a great reputation in the community. I threw it all away. I ruined everything.”

Westenbarger’s attorney blamed his clients’ actions on his gambling addiction.

“I’ve seen what gambling can do to somebody and the actions they take,” said Scott Grabel. “Does that excuse the behavior because Jaime clearly has a gambling problem? Absolutely not. It does not. It does not fix it. It does not excuse it.”

Grabel emphasized that Westenbarger has repaid a portion of the money and will continue to do so when able.

Before announcing the sentence, Judge Noto quoted the Attorney General’s sentencing memorandum, in which prosecutors said Westenbarger actually stole approximately $780,000 from four clients dating back to 2009.

In one case, the victims, another married couple, lost their life savings.

JUDGE: BREACH OF TRUST ‘REPREHENSIBLE’

“(The victim) stated that after her husband had a nervous breakdown and was diagnosed with Alzheimer’s, the defendant had him sign a promissory note. However, (the victim) stated she did not loan him money, and the money that was given to the defendant was for investments,” Noto quoted the sentencing memorandum.

Noto called Westenbarger’s willingness to take advantage of vulnerable clients “cruel and heartless.”

“To breach that trust and your duty to your clients is reprehensible,” said Noto from the bench. “It suggests to this court that you pose a serious risk to this community.”

Moments before Westenbarger was led out of the courtroom to begin serving his sentence, he hugged his wife and son, who’d been watching from the gallery.

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