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Minneapolis (AP)

Hecker facing new fraud charges

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Federal prosecutors added two new fraud charges against embattled auto dealer Denny Hecker Wednesday, while a money laundering charge was dropped.

A grand jury issued a second indictment against Hecker which supersedes the previous charges. The 58-year-old Hecker is now facing 26 counts, including the two additional charges of bankruptcy fraud and wire fraud.

Prosecutors also removed references to tax, title and license fees which they alleged Hecker's dealerships had not paid to the state shortly before his auto empire crumbled last year. Hecker's attorney, Brian Toder, says his client wasn't in control of the dealerships at the time.

Toder says the money laundering charge was unfounded because Hecker used his personal bank account as a central depository for all his business entities.

Hecker claimed $767 million in debt when he filed for personal bankruptcy last year.

(Copyright 2010 by The Associated Press. All Rights Reserved.)