Stephens Inc. of Little Rock fired the financial adviser whose suspicious cash withdrawals from his personal bank accounts led federal agents to uncover a large-scale illegal gambling operation in Rogers.
Arkansas Business reported on the gambling business in a front-page story on Aug. 14, the same day Norris R. “Richie” Roberts Jr. was discharged, according to a filing with the Financial Industry Regulatory Authority. Roberts worked in the Rogers office of Stephens as a vice president in the Private Client Group. He began working for Stephens in September 2014.
“Mr. Norris was terminated following our firm’s review of a published report and supporting materials containing allegations that he had engaged in illegal activities,” Stephens said in the FINRA filing. Roberts, of Rogers, has not been charged with a crime. Roberts couldn’t be reached for comment. A spokesman for Stephens declined to comment.
Roberts, you may recall, made withdrawals from his personal bank ac-counts in a way that made federal agents suspect he was deliberately trying to avoid currency reporting requirements.
Since 2012, Roberts has “structured” withdrawals of more than $560,000, FBI Special Agent Alan Lee said in a Feb. 3 affidavit.
Structuring is the federal crime of making smaller bank cash withdrawals or deposits in order to sidestep a bank’s requirement to report cash transactions of $10,000 or more.
Federal prosecutors can seek a crim-inal indictment or file a civil forfeiture lawsuit to recover money that agents believe is tied to structuring.
The federal agents said they traced some of Norris’ money to Robert E. Rogers, also of Rogers, who was indicted on July 26 in U.S. District Court in Fayetteville on one charge of operating a gambling business and one count of money laundering. (The indictment was under seal until Aug. 18.)
Rogers generated about $1 million in wagers every year between 2012 and 2015, mainly through bookmaking on professional sporting events, according to court filings. The federal government has filed civil lawsuits to take Rogers’ homes in Rogers and Grove, Oklahoma, as well as to keep seized jewelry, $217,929 in cash and other items.
Rogers’ indictment also seeks forfeiture of the property. Rogers has pleaded not guilty. A jury trial is set for Oct. 2 in U.S. District Court in Fayetteville with Judge Timothy L. Brooks presiding.
As a condition of being released on a $10,000 unsecured bond, Rogers isn’t allowed to enter any gambling facilities, businesses that promote gambling or any online gambling websites.
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