May 1, 2013

Omaha School Employees' Retirement System invests $100 million in the Global Yield Opportunity Fund, a bond fund owned by its Connecticut-based adviser, Atlantic Asset Management. OSERS is the only significant investor in the fund.

March 2014

John Galanis, already twice convicted of securities fraud, meets with leaders of the Wakpamni District, a subdivision of the Oglala Sioux tribe, and encourages them to issue economic development bonds.

July 31, 2014

Seeking clients to sell the bonds to, son Jason Galanis gives Michelle Morton $2.7 million to buy Hughes Capital Management. Morton becomes CEO, shielding Galanis' involvement.

Aug. 22-26, 2014

Hughes Capital signs off on $27 million in Wakpamni bond purchases from client funds identified by Morton. The funds are not invested as pledged to the tribe and instead are used to fuel Galanis' personal spending.

Late October 2014

Morton is in talks with Atlantic principal Ron Sellers to buy his firm.

Feb. 19, 2015

Sellers informs OSERS administrator Mike Smith that Atlantic is being sold to Morton.

March 4, 2015

After a presentation by Sellers, OSERS trustees agree to stick with Atlantic under new ownership. At the recommendation of Atlantic, trustees put another $25 million into the Global Yield Opportunity Fund.

April 1, 2015

OSERS transfers the $25 million to Atlantic.

April 2, 2015

Atlantic sale to Morton is completed for $6.1 million plus $4.9 million due later. Galanis immediately asks Morton to scour Atlantic accounts to identify investors for bonds. She targets the global yield fund.

April 10, 2015

After Morton shows reluctance to make bond purchases, Galanis emails Morton that she needs to keep her word.

April 14, 2015

Morton says Atlantic is in financial trouble and asks Galanis for $500,000.

April 15, 2015

Morton sends an email to Galanis that suggests they have struck a deal: Galanis would give her $300,000 in operating funds and she would sell the bonds. She attempts to make a sale into the global fund but is rebuffed by Atlantic trader.

April 16, 2015

Under continued pressure from Morton, Atlantic trader purchases $16.2 million in Wakpamni bonds from the global fund.

April 23, 2015

In conference call with Sellers, Morton and others, Smith is asked to give after-the-fact approval for the bond purchase. After reviewing documents emailed by Sellers, Smith the next day demands the bonds be sold.

May 6, 2015

Smith talks to OSERS officers about the bond purchase but does not yet tell the full board of trustees.

June 11, 2015

Morton says she became suspicious of the bonds after learning proceeds weren't properly invested and notifies federal regulators, who open investigation.

Aug. 5, 2015

After months of being strung along by Atlantic, Smith discusses bonds with trustees in executive session. Trustees talk of firing Atlantic. The same day, Smith announces he will retire at the end of the year.

Aug. 15, 2015

In special meeting, trustees vote to pull all $125 million out of global fund, but they ultimately don't get the $16.2 million back.

Aug. 25, 2015

The FBI contacts Morton and she cooperates, twice wearing wires in meetings with Jason Galanis.

Sept. 24, 2015

Jason Galanis is charged in an earlier fraud case but while on bail continues to work the bond scheme.

Oct. 29, 2015

Smith informs Atlantic that OSERS is terminating its advising contract with firm.

Dec. 15, 2015

U.S. Securities and Exchange Commission and U.S. Attorney file suit to shut down the bond scheme and appoint a monitor to oversee Atlantic.

Jan. 8, 2015

Atlantic is placed in receivership and later liquidated.

March 24, 2016

Nebraska Legislature passes a bill taking investment authority from OSERS and giving it to the state investment officer, effective Jan. 1, 2017.

May 11, 2016

U.S. Attorney charges Galanis, his father, Morton and four others with multiple counts of securities fraud. No one under Atlantic's previous ownership is implicated.

January 19, 2017

Jason Galanis pleads guilty to three felony counts in the bond scheme.

August 11, 2017

Jason Galanis is sentenced to 5 years in prison on top of 11 years he'd received after guilty plea in a previous scam.

May 16, 2018

Morton pleads guilty to securities fraud. Her sentencing remains pending.

June 28, 2018

After a trial in which Smith testifies, Manhattan jury convicts John Galanis and two others in conspiracy.