Federal prosecutors said Friday that 46-year-old former officer Gary Cottrell made high-interest loans to others, including 46-year-old active police Officer Cheryl Stephens, and used force and threats to collect the money.
Investigators allege Cottrell, a 14-year police veteran who retired in 2011, extended hundreds or thousands of dollars of credit to borrowers and charged an interest rate of $25 per $100 borrowed to be repaid in four weeks.
Stephens is accused of falsely testifying that Cottrell didn't charge her interest on a loan.
Cottrell faces 16 charges including obstruction and making an extortionate extension of credit. Stephens is charged with two counts of lying to a grand jury.