Lakeville Coin Firm Cleared of Fraud, Accuser Apologizes

-based BCC Precious Metals, a local gold and silver coin dealer, has been cleared of fraud charges levied against the company last year.

The accuser, Linda Keith, of Minneapolis, had filed suit in Hennepin County District Court alleging BCC took advantage of her parents, William and Ruth Naddy, in an $65,000 fraud by forcing the couple to purchase gold and silver coins at a high markup.

She accused BBC and its sales persons of forging coin-sales documents, as well as pressuring her father into taking out a reverse mortgage on his home to help pay for the coin purchases.

But as part of a Dec. 2011 settlement accepted by Minnesota District Court Judge Ivy Bernhardson, who dismissed the charges, Keith recanted her claims, and apologized to BCC.

"After further discovery and investigation, I learned my assumptions about the business transactions are wrong,” Keith said in the apology letter to the court. "(They) did not cheat my father."

In addition to the apology, Judge Bernhardson also required Keith to pay legal costs for BCC and for salesmen Michael D. McNamara, who is no longer with the company.

“It is heartening that BCC Precious Metals has been vindicated and that this cloud of doubt and suspicion has been lifted,” said Leonard Barber, president and CEO of BCC.  “We always seek to conduct our business honestly and treat our customers fairly and with respect.”