Cochran sentenced to 87 months

Despite Robert Cochran's assurances to Judge Ralph Thompson that he was a changed man who had learned valuable lessons, Cochran was sentenced to seven years and three months in the El Reno Correctional facility for fraud and perjury involving a bond fraud and bid rigging scandal.

In addition, Cochran was fined $629,241 payable the U.S. government and $481,231 in restitution to the Oklahoma City Airport Trust Authority for his criminal activity in the building of a prison transfer center at Will Rogers World Airport.

Cochran, 49, was found guilty in May of eight counts of felony wire fraud and money laundering. The former executive with Stifel, Nicolaus & Co. originally was charged with 21 counts alleging he illegally made and concealed $7.6 million in profits on five bond deals for his employer, but the jury acquitted him on the 13 other charges.

Part of the amount payable to the OKC Airport Trust Authority has been disgorged by payments already made by Stifel Nicolaus for its dealings in the case.

In front of tearful family members, a composed Cochran said the ordeal had helped him set new priorities in his life.

"I've learned the tremendous importance of family and friends," he said. "My family has had tremendous suffering."

Defense attorney Drew Neville asked Judge Thompson to consider Cochran's previous clean record in sentencing.

"Mr. Cochran is a man of civic contribution with no previous criminal record ... In the name of justice and equity we ask the court to exercise its discretion in favor of the lowest sentence."

Under federal sentencing guidelines, a pre-sentence investigation results in a range of fines and prison time the court must use in sentencing.

The sentencing guidelines for Cochran suggested a prison term of seven years three months to nine years.

Unlike state criminal convictions, defendants generally serve the full time of their sentence with small reductions for good behavior, according to Judge Thompson.

Cochran received the lowest sentence suggested by the guidelines.

Under rare circumstances, courts will depart from these guidelines.

Defense attorneys argued that the court should have deviated from the guidelines because there were no real victims in this case.

Judge Thompson did not agree.

"The defendant was clearly the organizer and manager of criminal activity and took measurable steps to conceal the offense," said Thompson.

Assistant U.S. Attorney Susan Dickerson Cox said she was satisfied with the outcome.

"This sentence should send a message to the municipal bond community that they have a duty of full disclosure."

Defense attorney Neville disagreed with the perjury ruling and maintains that Cochran is an innocent man.

Neville however, was pleased with the sentencing given the circumstances.

"We are grateful that the judge exercised his discretion on the low end of the range."

Judge Thompson previously ruled Cochran cannot remain free pending his appeal.

Cochran will begin serving his sentence Sept. 30.

Cochran ran Stifel's public finance operation in Oklahoma until the company fired him in 1994.

The Oklahoma office of St. Louis-based Stifel, Nicolaus handled bond deals for more than 100 municipal customers, including the Oklahoma Turnpike Authority. Stifel no longer has a local office, but still faces legal problems in the state.

The Oklahoma Turnpike Authority has pending a $6.5 million lawsuit, accusing the firm of fraudulently receiving hidden payments. The state attorney general has accused Stifel and Cochran in federal court of racketeering and is seeking almost $23 million in damages.

The Comanche County Hospital Authority in Lawton has accused Stifel and Cochran of lying to make a $100,000 fee on a 1993 bond deal. That lawsuit is pending in state court.

Copyright 1996
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