Former Kearney man sentenced to 9 years for wire fraud

LINCOLN, Neb. — Jeffery S. Sikes, 43, a former resident of Kearney, Nebraska, was sentenced on Aug. 27, 2024, to 108 months (9 years) in federal prison for wire fraud. Senior U.S. District Judge John M. Gerrard handed down the sentence in federal court in Lincoln. In addition to his prison term, Sikes will serve three years of supervised release and pay $819,169.96 in restitution to his victims. Federal prisoners do not receive parole.

Sikes’ fraudulent activities spanned from early 2012 to July 2014, during which he devised numerous schemes to defraud individuals and businesses in Nebraska. These schemes involved false representations, promises, and omissions. One notable case involved Sikes falsely claiming to be a consultant for Vanguard Nebraska, a nonexistent company, and persuading a Lincoln-based real estate firm, B & J Partnership, to provide $750,000 for a fraudulent project.

To deceive B & J Partnership, Sikes fabricated documents, including balance sheets and tax forms, and provided false subcontractor information. His actions resulted in B & J losing $507,231.96. His other fraudulent schemes led to additional losses totaling $311,938.

Sikes initially pleaded guilty to wire fraud in April 2017 but failed to appear for sentencing in January 2018. He fled to Alabama, where he lived under an alias and engaged in further criminal activities. In Alabama, Sikes led a conspiracy to set fires in multiple Walmart stores. He was arrested in February 2022 and sentenced to 18 years for arson and conspiracy. His Nebraska sentence will be served consecutively to his Alabama term.

U.S. Attorney Susan T. Lehr highlighted the dedication of law enforcement in pursuing justice, noting that Sikes’ attempts to evade the consequences of his actions were ultimately futile. The FBI, led by Special Agent in Charge Eugene Kowel, played a key role in investigating Sikes’ crimes and ensuring his accountability.