Trustee wants Rowan to repay $14,000

The bankruptcy trustee handling the liquidation of Denny Hecker's estate wants a bankruptcy judge to keep the former auto mogul's girlfriend in jail until she repays $14,000 she allegedly stole and details every dime she spent over four months.

The latest request by trustee Randy Seaver pits two courts against the same defendant.

Christi Rowan, who was due to be sentenced to prison last week in a separate fraud matter in U.S. District Court, was arrested last Wednesday after prosecutors said she violated the conditions of her April plea agreement and an October court order barring her from touching any of Hecker's funds. She remains behind bars at the Sherburne County jail.

Rowan's attorney Janet Newberg could not immediately be reached for comment.

The surprise arrest came after Seaver first accused Rowan last week of taking $9,000 belonging to Hecker's bankruptcy estate. About 21 hours later, federal prosecutors accused Rowan of illegally spending $3,400 worth of Hecker's American Express gift cards that had been turned over to the FBI for liquidation. By keeping the gift card numbers, Rowan was able to spend them online and through mail order, prosecutors said.

Rowan, who was arrested while visiting Hecker at the Sherburne County jail, was shocked at being taken into custody, her attorney Newberg said during a hearing Thursday, in which she also asked for her client's release. U.S. District Judge Joan Ericksen refused to release Rowan but did set a new hearing for Wednesday,

Meanwhile Seaver amended his original complaint in bankruptcy court on Friday, saying Rowan stole $14,000 from Hecker's bankruptcy estate. Seaver submitted copies to the court of several U.S. Bank "counter withdrawal" slips that Rowan signed in November and December.

Some withdrawals allegedly came just hours after Rowan was embroiled in another contempt motion involving her role in spending insurance funds that Hecker illegally cashed out last summer.

Calling her actions "brazen" and "incomprehensible," Seaver is now asking U.S. Bankruptcy Judge Robert Kressel to jail the 37-year-old mother of two indefinitely, "until such time as the court is convinced that Rowan has complied with this court's orders."

Seaver wants the bankruptcy judge to find Rowan in contempt of court, to order her to detail her spending and reimburse the bankruptcy estate "for all funds lost due to her conversion."

Seaver said Rowan used her power of attorney with Hecker last fall to illegally withdraw money from four bank accounts that Hecker hadn't disclosed to the bankruptcy court. Seaver also accused her of depositing $1,149 of stock dividend checks into Hecker's account and then withdrawing $500 for herself.

Hecker gave Rowan power of attorney after he was jailed in October for illegally hiding, cashing and spending nearly $154,000 in insurance money. He is serving a 10-year federal prison sentence for conspiracy and bankruptcy fraud.

Besides Wednesday's hearing before Ericksen on the gift card theft allegations, Rowan is also due in bankruptcy court March 9 on Seaver's contempt motion.

Dee DePass • 612-673-7725