Springdale Man Tied To Elm Springs Wind Farm Scheme Pleads Guilty To Federal Charges
FAYETTEVILLE (KFSM) — The man who once promised to bring wind energy to Elm Springs pleaded guilty in federal court last week to charges of wire fraud and tax evasion.
Cody Fell, of Springdale pleaded guilty in the U.S. District Court in Fayetteville.
According to court documents, Fell and two others formed Dragonfly Industries International and used the LLC to solicit and defraud investors by claiming they would build a wind farm in Elm Springs.
Fell received a total of $191,530 in the scheme, court records show, and he didn’t report any of it to the Internal Revenue Service.
Fell faces up to 20 years on the wire fraud charge and up to 5 years for tax evasion, as well as fines of up to $250,000 for each charge. He also agreed to make full restitution.
Court documents show Fell was in on the scheme with “Person 1” and “Person 2,” neither of whom is named in the court documents. However, court documents show “Person 1 was convicted in 2009 of wire fraud and money laundering and was sentenced to serve a 37-month sentence of imprisonment in the Bureau of Prisons.”
According to court documents, former Dragonfly Industries International CEO Jody Douglas Davis pleaded guilty on Aug. 10, 2009, to 18 counts of wire fraud and 64 counts of money laundering in the U.S. District Court for the Northern District of Oklahoma.
Upon sentencing 46 counts of money laundering were dropped and Davis was sentenced to a little over three years in federal prison. Davis was released July 18, 2011 and was put on supervised release until July 17, 2014, according to records from the Federal Bureau of Prisons.
Dragonfly Industries and Davis was ordered to cease and desist business in Arkansas by the Arkansas Securities Department in August 2016.
Fell had a history of criminal and civil cases prior to this guilty plea, court records showed.
Court documents that go back to May 2003 show Fell has a history of failure to appear, failure to pay for services and a conviction for violating Arkansas’ hot check law.
Fell also has a record of financial cases in Oklahoma, including a case where he defaulted on a promissory note and mortgage and several cases in Delaware County.