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Rahm gets 3+ years in prison

MARSHALL — A former Fairmont City Council member will serve more than three years in prison for multiple counts of theft by swindle, a Lyon County District Court judge ruled this week.

Darin Rahm, 49, of Marshall was sentenced for crimes related to his work as the former director of the Marshall Convention and Visitors Bureau.

Rahm, 49, was sentenced for seven counts of theft. Each count carried a separate sentence, ranging from 366 days to 68 months in prison. However, a judge ruled that Rahm will serve all the sentences concurrently. He will serve at least two thirds of the five-plus year sentence in prison, with up to one third of the sentence on supervised release. This means Rahm will serve around 45 months in prison.

His sentence also includes paying more than $265,000 in restitution and a $1,000 fine. The judge granted a request from prosecutors that Rahm’s frozen assets be turned over to court administration and used to pay restitution.

Rahm pleaded guilty to the theft counts in May. He admitted to using “phantom” vendor accounts to direct more than $256,000 to himself between 2015 and 2018, when he was terminated from the CVB. In court, Rahm had described setting up online accounts and using them to create invoices directed back to his own account.

More than 30 people were present in the courtroom for Monday’s sentencing hearing.

Written victim impact statements from Marshall city officials, the Marshall Economic Development Authority, the CVB and businesses, including Marshall hotel and restaurant owners, were all read in court. Local business people said the money Rahm stole — taken from local lodging and prepared food and beverage taxes — should have been used to promote tourism and business in the community, and to organize events at the Red Baron Arena and Expo.

“He lied to us. He stole from all of us. He broke our trust,” said a statement from a group of Marshall restaurant owners.

The court also heard arguments from Assistant Lyon County Attorney Abby Wikelius and Rahm attorney Joel Solie about sentencing. Wikelius said the prosecution was seeking a sentence on the “high end” of what guidelines allowed, including a 68-month prison sentence, fines and more than $265,000 in restitution. But Solie said there were “substantial and compelling reasons” to stay the execution of Rahm’s sentence. Completing probation instead of going to prison would allow Rahm to get treatment for gambling addiction, Solie said.

“I have so much guilt for what I did,” Rahm told the judge Monday. He said he looked forward to getting the help he needs to cope with a gambling addiction.

However, after a short court recess, Judge Tricia Zimmer handed down sentences including 68 months in prison for the theft charges, saying she believed Rahm lacked genuine remorse for his actions.

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