Rebecca C. Lutzko United States Attorney for the Northern District of Ohio | U.S. Attorney for the Northern District of Ohio
A couple from Willoughby Hills, Ohio, has been sentenced for orchestrating a scheme to collect over $2 million in insurance payouts by setting fire to insured properties. Lonnie White, 48, received a prison sentence of 53 months and was ordered to pay more than $2.3 million in restitution. He pleaded guilty to conspiracy charges related to mail and wire fraud, money laundering offenses, and using fire in the commission of a felony. White will also serve three years of supervised release.
His spouse, Lisa Ogletree, 48, was sentenced to five years of probation and must spend 810 days under location-monitored home confinement after pleading guilty to conspiracy to commit mail and wire fraud.
United States Attorney David M. Toepfer for the Northern District of Ohio stated: “It’s traumatic for people to see a house in their neighborhood go up in flames, and these defendants shamelessly utilized devastating fires just to line their pockets with money. Additionally, insurance companies paid out millions in claims—in good faith—only to learn that they were deceived by these fraudsters. We commend the outstanding efforts of the ATF agents on the case and their regional partners who spent countless hours connecting the dots which eventually led to justice being served.”
Court documents show that between 2013 and 2019, White and Ogletree acquired houses on Cleveland’s east side either personally or through others. The properties were transferred to nominal owners with fake renters before being insured for large amounts. They arranged for the houses to be set on fire so it would appear accidental, then filed fraudulent insurance claims on the destroyed properties.
Once insurance payments were received for fire damage, nominal owners distributed funds back to White and Ogletree. The couple then moved the money into other bank accounts as part of their scheme.
The Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) Cleveland Field Office led the investigation that resulted in indictments against White and Ogletree. Assistant United States Attorneys Adam J. Joines and Brian M. McDonough prosecuted the case.
The U.S. Attorney’s Office recognized several agencies for their assistance: Cleveland Fire Investigation Unit; Cuyahoga County Fusion Center; Ohio State Fire Marshal; Internal Revenue Service-Criminal Investigations; U.S. Department of Housing and Urban Development; Office of Inspector General.
ATF remains responsible for investigating arson cases nationwide. Information about suspected arson can be reported via phone at 1-888-ATF-TIPS (888-283-8477), email at ATFTips@atf.gov or online at www.atf.gov/contact/atf-tips.
