James Anthony Kroger, a former professor at Gustavus Adolphus College and practicing attorney, pleaded guilty in U.S. District Court to one count of wire fraud. The plea was entered before Judge Donovan W. Frank, according to an announcement by Acting U.S. Attorney Joseph H. Thompson.
“This defendant was a professor and an attorney—someone entrusted to teach and uphold the law. Instead, Kroger betrayed that trust, embezzled more than $670,000, and blew it on a lifestyle of self-indulgence,” said Acting U.S. Attorney Joseph H. Thompson. “In Minnesota, titles and credentials won’t shield you from federal prosecution. If you choose greed over integrity, you will face justice.”
Prosecutors stated that between 2019 and 2021, Kroger embezzled more than $670,000 from Lone Star Municipal Finance Company, LLC—a real estate joint venture where he served as partner and managed daily operations. He persuaded his business partner to invest about $840,000 into the company for purchasing distressed properties in Texas but diverted most of these funds for personal use by transferring money into his own account under the pretense of loans.
The embezzled money was reportedly used for large cash withdrawals; buying gold and silver bullion; writing checks to family members; paying off insurance policy loans; as well as retail purchases with companies such as Amazon, eBay, Apple, Delta Airlines, among others.
Kroger’s sentencing is scheduled for December 1, 2025 before Judge Frank.
The FBI led the investigation into this case. Assistant U.S. Attorneys Harry M. Jacobs and Rebecca E. Kline are prosecuting.
