SPOKANE, Wash – A federal grand jury has indicted a prominent Spokane dermatologist on multiple counts, including fraud and conspiracy.
The 23-count indictment was handed up Friday against Dr. William Werschler. His attorney blames the charges on a former employee of Werschler’s who was recently convicted of stealing money from the business.
Court documents say Werschler owns Spokane Dermatology Clinic along with a companies called Premiere Clinical Research, LLC and 3rd and Sherman Plaza, LLC.
According to the indictment, Werschler and others “devised a scheme to defraud the SBA (Small Business Administration) to obtain money and property by means of materially false and fraudulent pretenses, representations and promises.”
The indictment says Werschler and others applied for an received at least three economic injury disaster loans set up to help cover business expenses lost through the COVID-19 pandemic.
Werschler is accused of using the money to pay for luxury vehicles, personal properties and real estate.
The indictment says the loan agreements required Werschler to declare that that none of the money he received would be used for personal, family or household expenses.
Federal prosecutors included in the indictment examples of emails and text messages sent between Werschler and an employee, talking about the loans and what they were used for.
The indictment references the paying off of loans and a residential real estate purchase for a home in Scottsdale. In September 2021, Werschler was messaging the employee about buying a Porsche.
“C.C. inquired, ‘How much?'” the indictment says. Werschler allegedly responded, “Not sure. I’m getting a PPI loan then negotiate.”
PPI loans were Paycheck Protection Insurance loans distributed through the SBA during the COVID-19 crisis.
The records show Werschler bought two Porsches in 2022.
The indictment says that in May of that year, Werschler’s employee asked what reason they would give for the need to increase the SBA loan amount.
According to the indictment, “Werschler replied, ‘Buy more cars?'”
The bookkeeper responded via text message, “I put for payroll, rent and business expenses” to which Werschler allegedly replied, “Perfect.”
The 40-page indictment lists detailed information about loan amounts to all three of Werschker’s businesses.
The indictment charges Werschler with conspiracy to commit wire fraud, 16 counts of wire fraud and making false claims and five counts of making false or fictitious claims.
If convicted, the wire fraud and conspiracy charges carry a maximum penalty of up to 20 years in prison on each charge.
Werschler’s attorney gave this statement to 4 News Now when asked about the allegations: “Dr. Werschler is a lonstanding, well respected dermatology expert locally and internationally who has advanced the wellbeing [sic] of thousands. The Indictment is not based in fact. It is based on misinformation orchestrated by a disgruntled bookkeeper who embezzled approximately $1 million from the named entities. That bookkeeper felt guilty in guilty in federal court and faces imprisonment for a number of years under federal sentencing guidelines. Dr. Werschler, without exception, denies any wrongdoing as alleged. We are prepared to defend him and the named entities.” -Ron Van Wert
The bookkeeper Van Wert is referring to is Carol Casilla, which matches the initials and dates of employment of the woman named in the Werschler indictment. She pleaded guilty to wire fraud in 2023 for stealing more than $715,000 from Spokane Dermatology.
Federal prosecutors say Casilla used her position to write fraudulent checks to herself and then deposit them in her own accounts. Federal prosecutors say some of the transfers were made to a fake company Casilla created.
She faces up to 20 years in prison.
Her sentencing was recently delayed until November 6th.
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