Whitefish builder gets probation for money laundering

A Whitefish building contractor will not do prison time for illegally using credit cards to address his company's financial problems.

U.S. District Judge Donald W. Molloy sentenced Brendon Retz, 39, on Nov. 18 to five years probation, three months house arrest, 500 hours of community service and a $900 special assessment.

Retz pleaded guilty on June 30 to nine counts of wire fraud and money laundering. His plea came 3 1/2 months after his bankruptcy appeal was turned down by a federal court in Helena.

According to court records, Retz allegedly used his credit cards to obtain $197,000 through his family's Flathead Valley resort. In September 2003, Retz allegedly used the cards five times as if he was purchasing lodging at the North 40 Resort on Highway 40 and then transferred the money to his business account at Glacier Bank in Whitefish.

His plea agreement notes that Retz paid back the credit card companies prior to detection by the credit card companies or any investigation by the federal government.

Retz formed Timberland Construction Inc. in 1994 and was the company's sole shareholder until June 2001.

Retz's attorney in the wire fraud case, John Smith, said Retz tried to raise money in 2003 to fund a settlement proposal with California real estate magnate Donald Abbey by using credit card charges at North 40 Resort.

As Retz's financial situation grew worse, he filed for Chapter 7 protection in bankruptcy court in February 2004. Retz appealed the bankruptcy court's denial of his Chapter 7 discharge in 2007. Four appellate judges, armed with 28,000 pages of documentation, were not swayed by Retz and ruled against him on March 31.