A Nebraska Catholic priest who was brutally stabbed in his rectory on Sunday was previously convicted of embezzling $125,000 from his parishioners.
In 2007, police arrested Stephen Gutgsell for theft in his Omaha community. In the case, he agreed that he would be sentenced to probation instead of 20 years in prison. He also had to pay $40,000 in restitution.
Years later, Gutgsell, 65, was violently attacked at St. John the Baptist rectory in Fort Calhoun. He had called 911 to report a burglary shortly before he was found mortally wounded.
Kierre L. Williams, 43, of Sioux County, Iowa, was subsequently arrested and charged with murder and use of a weapon to commit a felony.
Police have not released a motive in the case.
Nebraska Catholic priest Stephen Gutgsell, who was stabbed to death in his rectory, had a checkered past that included being arrested for stealing $125,000
Gutgsell, 65, was taken to an Omaha hospital Sunday, where he died of his stab wounds, church officials said
Police did not say whether the men knew each other before the murder.
“He's not from the area. “As far as we know, he's not from Fort Calhoun or Nebraska,” sheriff's officials said of Williams.
In 2007, Gutgsell was arrested and accused of stealing more than $125,000 from his Omaha community over a three-year period, The Pillar reports.
According to court documents, the religious leader had racked up enormous credit card debts that he tried to pay off through theft.
However, few details about the crime are available because Omaha police have refused to release several pages of “investigative materials,” citing Nebraska records laws.
A report from KETV at the time said Gutgsell resigned from St. Patrick's Parish and was placed on administrative leave pending the investigation.
He turned himself in to police in February 2007 after reaching a deal with prosecutors. His attorney, Jim Schaeffer, said the priest was “ashamed of his behavior.”
Kierre L. Williams, 43, of Sioux County, Iowa, was arrested for killing Gutgsell during an invasion of the rectory of St. John the Baptist Catholic Church
Before joining St. John the Baptist (pictured) in Fort Calhoun, Gutgsell led a church in Omaha where he stole from the congregation
The priest accumulated enormous credit card debts, which he attempted to pay off through theft, before parishioners learned of the scheme and he was forced to resign from his post. Years later, he joined the church at Fort Calhoun (pictured), where he was stabbed to death
“He knows he was wrong and asks his parishioners and the church for forgiveness,” Schaeffer said.
Instead of facing up to 20 years in prison, Gutgsell was instead sentenced to five years probation, ordered to perform 500 hours of community service and sent to Canada for a residential treatment program for religious offenders.
He was also ordered to pay approximately $40,000 in restitution to the Archdiocese of Omaha.
At the end of his probation in 2012, he still owed nearly $13,000 but remained on good terms with the church.
The Archdiocese of Omaha told court officials that the priest “agreed to continue making payments toward the amount owed” and had no objection to the end of his probation.
In an online comment, a former parishioner named Joe Coliano claimed to have known Gutgsell before and after his arrest.
He described him as “a good priest who made some bad decisions in a moment of weakness 15 years ago,” but said he took a stand, “got help” and remained in good standing with the diocese.
Earlier this year, Gutgsell's brother, Fr. Michael Gutgsell, reached a plea agreement with prosecutors after he was accused of stealing nearly $200,000 from an elderly priest.
Gutgsell avoided a 20-year prison sentence and a $25,000 fine and was instead sentenced to 500 hours of community service, $40,000 in restitution to the Archdiocese of Omaha and five years of probation
Police have not released a motive for Sunday's killing in Fort Calhoun, Nebraska
Court documents state that Fr. Michael managed to steal the money after receiving power of attorney for the “at risk” priest. Ted Richling, whose exploitation he was accused of.
He was also accused of stealing at least $94,000 from St. Joseph Church in Springfield, Nebraska, where he served as a priest.
Those charges were later dropped in March 2022 after he repaid the money.
In another bizarre twist, Fr. Michael then gave the money he stole to homeless man Michael Barrett, whom he met as a priest at Omaha Cathedral in 2013.
The priest allegedly believed Barrett would pay him back, court documents say.
He has been suspended from the department pending arraignment and it is not clear when or if he will be reinstated.
Mike Fitzgerald, a parishioner at St. John the Baptist, said the regular 8:30 a.m. service at Gutgsell church has been canceled. He told the Omaha World Herald: “Father Gutgsell has been here for 11 years and I thought he was a very holy man.”
“He did a lot for the community. “He always made sure the (church) bulletin had everything we needed to know about what was going on in the church.”