Former Gustavus Adolphus Professor Pleads Guilty To $670K Embezzlement

MINNEAPOLIS, MN — A former Gustavus Adolphus College professor has admitted to stealing more than $670,000 from a business partner.

James Anthony Kroger, 46, pleaded guilty this week to one count of wire fraud in U.S. District Court before Judge Donovan W. Frank.

He is scheduled to be sentenced on Dec. 1, 2025. The FBI investigated the case, and Assistant U.S. Attorneys Harry M. Jacobs and Rebecca E. Kline are prosecuting it.

"This defendant was a professor and an attorney—someone entrusted to teach and uphold the law. Instead, Kroger betrayed that trust, embezzled more than $670,000, and blew it on a lifestyle of self-indulgence," said Acting U.S. Attorney Joseph H. Thompson.

"In Minnesota, titles and credentials won’t shield you from federal prosecution. If you choose greed over integrity, you will face justice."

From 2019 to 2021, Kroger, an attorney and tax and accounting professor at the time, embezzled the money from Lone Star Municipal Finance Company, a real estate investment venture he co-owned.

According to investigators, Kroger persuaded his partner to invest about $840,000 in the company to buy distressed properties in Texas.

As the managing partner, Kroger handled daily operations, but instead of using the funds for the business, he transferred most of the money to his personal bank account, calling the payments "loans."

Prosecutors say Kroger spent the stolen money on cash withdrawals, gold and silver, gifts to family members, paying off insurance policy loans, and purchases from Amazon, eBay, Apple, and Delta Air Lines, among others.