$456,367 restitution ordered in man's swindle

A former Eagan woman who swindled her autistic neighbor out of at least $387,000 will be living in a prison cell for the next year rather than the Texas house she bought with her victim's inheritance, and she'll have to make restitution.

Katharine L. Rosenthal, 41, who was sentenced on Monday, earlier pleaded guilty to three counts of defrauding a vulnerable adult. Nine other felony counts, including theft by swindle, were dropped.

Dakota County District Judge Shawn Moynihan stayed for 20 years three concurrent prison sentences, the longest of which is 33 months.

He gave Rosenthal credit for 54 days she already served toward her one-year sentence.

He also ordered her to pay $456,367 in restitution, which an analysis by court officials determined was the total amount stolen, including debts run up on credit cards opened in the name of the victim, Kevin Farley.

Dakota County Attorney James Backstrom called the offenses "egregious."

He said Rosenthal had absconded with money that she was to use to care for a disabled person. He said the large amount of restitution ordered is well deserved, as is the stayed 33-month prison term that will hang over the defendant's head while she remains on probation for the next 20 years.

Evidence in the case showed Rosenthal wrote fraudulent checks and stole money in other ways from the $387,000 inheritance belonging to her neighbor. Additional losses were later found, said Monica Jensen, a spokeswoman for the Dakota County attorney's office.

Before Farley's father, Bill Farley, died, he had given Rosenthal and her husband power of attorney over Kevin Farley's inheritance. Kevin Farley's mother, Joanne Farley, had died in 1997, leaving a sizable savings account for the care of her husband and son.

According to the criminal complaint in the case, someone started making large withdrawals and writing checks from Kevin Farley's checking account shortly after Rosenthal was added as an account holder.

Three of the checks totaling $7,420 were used to pay off her student loans, the complaint said, and others were traced to her personal use.

Rosenthal was charged in Dakota County with four counts of theft by swindle, four counts of theft and four counts of financial exploitation of a vulnerable adult, accused of stealing at least $387,000.

In September of that year, concerned friends got Kevin Farley to revoke the power of attorney.