The reasons to revoke Donald M. Johnson’s probation in his securities fraud case continued mounting Thursday, a day before a hearing to do just that, when his probation officer filed a notice with the court that Johnson has been working at a Michigan City restaurant without reporting it.
Additionally, according to the filing, the restaurant sells alcohol, a violation of the terms of his probation because Johnson “cannot be in any bars or establishments where alcohol is sold while he is on formal probation and did not have permission from probation to work there.”
Under the terms of his probation, Johnson also cannot purchase, possess or drink alcohol and must undergo alcohol testing on demand. The probation officer learned on Oct. 29 that Johnson is employed at Matey’s, according to the filing.
Johnson, 59, of Porter, is on probation after pleading guilty a year ago to a single count of securities fraud in a case that has stretched for a decade and involves multiple victims.
Under the terms of the plea agreement reluctantly accepted by Porter Superior Court Judge Jeffrey Clymer in January, Johnson pleaded guilty to one count of broker-dealer registration violation, a Class C felony.
The additional 14 counts against him were dismissed as terms of the plea and he was sentenced to four years of probation and to pay $604,500 in restitution, the total owed to all of his victims.
The first hit to Johnson’s probation status came on Oct. 23, when his probation officer filed a petition to revoke his probation for two reasons: he missed a $20,000 restitution payment due on Oct. 21, and had filed a business license with the Indiana Secretary of State’s Office on Aug. 2 without notifying his probation officer, who was to be notified of any change in job status.
The court issued a warrant for Johnson’s arrest and, according to court documents and testimony from a hearing on Monday, police forced their way into his parents’ rural Porter County home the night of Oct. 24 to arrest him.
Johnson made the late payment and one due in June, for a total of $45,000, on Oct. 24, according to court records and testimony Monday, but he also garnered a Level 6 felony charge of obstruction of justice for his arrest, another ding to his probationary status.
Thursday’s filing from his probation officer, as well as the filing about his most recent criminal charge, both recommend “that the Court revoke his probation and order that he serve the remaining portion of his suspended sentence. The defendant is a flight risk due to the pending charge and should be held in the Porter County Jail with no bond during the pendency of this revocation.”
His tentative release date from probation, according to court documents, is Jan. 19, 2028.
Johnson, who has been held at the Porter County Jail without bond since his Oct. 24 arrest, is scheduled for a hearing on revoking his probation at 11 a.m. on Friday before Judge Clymer.
alavalley@chicagotribune.com
