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Former Hawaii real estate commissioner sentenced to jail

The former vice chairman of the Hawaii state Real Estate Commission has been sentenced to six months in jail and 10 years of court supervision, according to authorities.

A Hilo Circuit Court judge sentenced 54-year-old Scott Alan Sherley Friday for embezzling more than $200,000 from clients on the Big Island, the Hawaii Tribune-Herald reported Monday.

Sherley pleaded no contest Dec. 11 to first-degree theft, according to court records.

A plea agreement included the dismissal of a similar charge against his wife, 53-year-old Penny Sherley, said Deputy Prosecutor Rick Damerville.

Sherley misappropriated $135,633 from the living trust of Edward Pereira and Frances Pereira, owners of Lehua Apartments, and took about $80,000 from the Kawili Regency condominium owners’ association, both of which are in Hilo, police said.

Judge Greg Nakamura also ordered Sherley to pay restitution to the victims and scheduled a restitution hearing for May 31.

Many of the victims are “senior citizens and they want their money back,” Damerville said, adding that Sherley is contesting the amount of restitution.

Sherley will be given a two-year period before reporting to serve his jail sentence because his wife is seriously ill, Damerville said.

Sherley was also granted deferred acceptance of his plea that would expunge the Class B felony conviction from his record if he abides by the terms of court supervision, including restitution, and does not commit additional crimes in the next 10 years, according to Damerville.

“If he screws up, we can ask for prison,” Damerville said.

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