Judge rejects change of lawyer in mortgage fraud case with harsh words

A federal judge turned down an accused man's request for a new attorney Wednesday, suggesting during the hearing that Russell T. McBride wanted to delay his day of reckoning on charges that he bilked mortgage companies out of hundreds of thousands of dollars.

McBride was originally scheduled to appear before U.S. District Judge Charles A. Shaw for a change of plea in a case where McBride faces 31 felony counts, including money laundering, mail and wire fraud and conspiracy. McBride faces up to 545 years in federal prison and a fine of up to $250,000 on each count.

McBride was seeking time to obtain a federal public defender or hire a new private attorney. He has been represented by Thomas Liszewski of Jackson.

"I don't know exactly that your motives are pure, Mr. McBride," Shaw said as he questioned the defendant on why he was seeking to change attorneys. "Why do you want to give me a bad impression?"

Shaw had colorful words for McBride and his attorney.

"This is not an orphanage," Shaw told Liszewski. "You can't bring someone up in here and leave him on me."

Then, turning to McBride, Shaw said: "Coming in here without a lawyer is like coming for a hatchet fight without your hatchet."

As the discussion continued, Shaw drew from McBride that he has not made a formal application for a public defender. That would be necessary, Shaw said, to determine whether McBride truly is without money.

"We need to do a wallet biopsy," Shaw said. "You look like a man of means."

He asked how McBride was able to hire Liszewski. McBride replied that he had borrowed from his parents.

And if McBride were truly indigent, Shaw said, he had a solution -- jail. "Maybe you need a stimulus package. A place to stay. Some food stuffs. We've got stimulus packages galore."

"I do not wish to displease the court," McBride answered. "I feel I and the government would be better served if I had a new attorney."

When Shaw suggested that McBride decide whether he wants to proceed with a plea and Liszewski or find a new lawyer and go to trial with a new judge, McBride agreed to discuss the case again with Liszewski and appear before Shaw on Tuesday in St. Louis.

Shaw seemed pleased with that result.

"I got the softest touch in the courthouse or I can give you to one of them hanging judges," Shaw said.

During the hearing, Shaw questioned McBride for several minutes about why he needed to change attorneys now. McBride cited a lack of money but also said he believed Liszewski has a conflict of interest because a prior partner in his firm had helped obtain a loan for Century Mortgage and that pressure tactics to make sure the loan was repaid left Liszewski unable to represent him.

Cheap properties

McBride and Robert Wrolstad ran Century Mortgage, with offices in Cape Girardeau, Sikeston and St. Louis. According to the charges, they found cheap properties in Sikeston, then found buyers to purchase them for a low price. The properties were then mortgaged for up to nine times their value, with Wrolstad and McBride pocketing the profit, the indictment announced in November alleges. On the 12 properties listed, McBride and Wrolstad are accused of receiving $500,000 in mortgages on properties costing $185,000.

Liszewski told the judge he had discussed the potential conflict with McBride and Hahn and believes no real conflict exists. But he filed to change attorneys at McBride's insistence, he said.

At the end of the hearing, when McBride had agreed -- after Shaw's urging -- to work out his differences with Liszewski, Shaw ordered him to be in court at 11:30 a.m. Tuesday in St. Louis. Wrolstad, McBride's co-defendant and partner in Century Mortgage and Finance Inc., faces 28 felony counts. He was scheduled to be in court after McBride for an expected guilty plea, but that court date was also changed. He will be in front of Shaw at 11:45 a.m. Tuesday.

Jeffrey Rosenswank, Wrolstad's attorney, declined to comment on the changes or what, if any, deal his client made in exchange for a guilty plea. Assistant federal prosecutor Paul Hahn, who is handling both cases, also declined to comment on the court action.

rkeller@semissourian.com

388-3642

Pertinent addresses:

555 Independence St., Cape Girardeau, MO

111 S. 10th St., St. Louis, MO