Bay City coin store owner faces felonies after allegedly taking customers’ money and gambling away $5 million

The owner of a now-closed downtown Bay City coin store is facing several felonies after allegedly taking customers’ money and gambling away more than $5 million.

BAY CITY, MI — The owner of a now-closed downtown Bay City coin store is facing several felonies after allegedly taking customers’ money and gambling away more than $5 million.

The afternoon of Jan. 18, a 72-year-old man went to the Bay County Law Enforcement Center to file a fraud complaint. The man told police he had gone to Flying Eagle Coins, 918 Washington Ave. in downtown Bay City’s Davidson Building, in October and given $20,000 in cash to owner Matthew J. Burton in exchange for gold and silver.

Burton, 43, never provided the man with the precious metals, the man told police. Instead, Burton kept putting him off with excuses, the man said.

The man said he had been a customer of Burton’s for several years and had previously purchased about $100,000 in gold and silver from him without issue. He said he knew Burton had a gambling problem and had previously lost large sums of money at the Soaring Eagle Casino and Resort in Mount Pleasant.

Burton was arrested Jan. 22 and arraigned in Bay County District Court on single counts of conducting a criminal enterprise, a 20-year felony; and embezzlement by an agent or trustee over $100,000, a 15-year felony.

Burton is accused of embezzling more than $5.2 million from Flying Eagle Coins customers between Jan. 1, 2017, and Dec. 31, 2019, court records show.

Burton took customers’ money for the purchase of gold, silver, and other precious metals, but instead of fulfilling the orders, he deposited the funds into his personal bank account and used them to pay off gambling debts at the Soaring Eagle, court records state.

Burton also failed to pay Flying Eagle Coins’ employees, rent, utilities, and other expenses, court records show.

Burton on Jan. 22 appeared before District Judge Timothy J. Kelly for a preliminary examination. After hearing testimony from Bay County Sheriff’s Deputy Adam D. Brouwer, Kelly bound Burton’s case over to Circuit Court for trial.

Burton remains free on bond pending further court proceedings.