Failed Bitwise Industries founders reach plea agreement, court documents show
FRESNO, Calif. (KFSN) -- A change of plea this week in the federal criminal case against the two founders of Bitwise Industries, the collapsed Fresno tech company.
Court documents obtained by Action News show Jake Soberal and Irma Olguin Jr. could resolve the case in just two weeks.
RELATED: One year later: The rise and fall of Bitwise
"Irma Olguin and Jacob Soberal and their counsel have met with the prosecutors apparently, and they are now prepared to announce they have a plea agreement," Fresno attorney Roger Bonakdar said. He represents former Bitwise employees in a separate civil lawsuit.
Bonakdar claims employees like Jenn Guerra were left without pay when the company collapsed last June.
"Things that were happening, like our paper checks, bounced checks, and then this chaos," Guerra told Action News.
In court documents, federal prosecutors say Soberal and Olguin wrongfully took more than $100 million, and they charged the founders with conspiracy to commit wire fraud. The two face up to 20 years in federal prison and a $250,000 fine.
In a dramatic court appearance last fall, Soberal and Olguin stood side-by-side to plead not guilty. But now, a change of plea.
RELATED: What is Bitwise? Explaining the rise and fall of the Fresno-based tech company
"They have an agreement to specific terms to specific violations to go forward and appear in front of a district judge and enter guilty pleas," Bonakdar said.
The plea agreement terms are not yet public, but the U.S. District Attorney's Office tells Action News they will file it with the court in the coming days. The founders are then due back at the federal courthouse on July 17.
"When Irma and Jake come to court later this month, they will have to say out of their own mouths the word, 'guilty.' They will have to openly accept guilt for the charges," Bonakdar said.
Guerra and former colleague Hans Kam say the guilty plea will be welcome news, but they still want an apology.
"They should have pleaded guilty right away and apologized to us because there has been zero communication," Kam told Action News.
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