Former CEO appeals convictions for defrauding Vann's

MISSOULA (AP) — The former CEO of a Montana electronics retailer is appealing his convictions for defrauding Vann’s Inc., which then filed for bankruptcy.

George Manlove’s appeal to the 9th U.S. Circuit Court of Appeals argues federal prosecutors were allowed to ask leading questions of co-defendant Paul Nisbet, who just “rubber stamped” what prosecutors said. The appeal was filed Wednesday.

Manlove is serving a five-year prison sentence and was ordered to forfeit $2.4 million.

Prosecutors said Manlove and Nisbet created holding companies to buy buildings and lease them to Vann’s at above-market rates, allowing them to repay the loans and own the buildings. He also was found guilty of using company money for personal expenses.

Nisbet pleaded guilty to conspiracy. He served about four months of a 14-month federal sentence and was released after testifying against Manlove.