Two Decorah Residents Arrested on Felony Charges in Financial Exploitation Case

Our newsroom runs on more than coffee and craft beer — it runs on you. Support Decorah News' local reporting today. DECORAH — Two Decorah residents were arrested Tuesday, Oct. 7, following an investigation into the financial exploitation of an elderly individual, according to the Winneshiek County Sheriff's Office. At approximately 7:46 p.m., deputies arrested Duane Herman, 55, and Christina Gray, 60, both of Decorah, at a residence on 1000 Ridge Road. Each was booked into the Winneshiek County Jail on arrest warrants for the following charges: Class B felony theft in the first degree against an older individual Class B felony ongoing criminal conduct – unlawful activity Class B felony financial exploitation of an older individual According to the criminal complaint obtained by DecorahNews.com, the charges stem from an investigation that began May 15, 2024, when deputies at the Winneshiek County Sheriff's Office received information about possible financial exploitation of an 85-year-old resident of Aase Haugen nursing home in Decorah. The complaint states that the victim, who has suffered from dementia, had been under Gray's care at her home on Ridge Road from August 2021 to May 2023. In May 2023, Gray and a family friend reportedly assisted the victim in setting up a checking account funded by the sale of property in Wisconsin, totaling $107,761.36. According to the complaint, Aase Haugen nursing home received only one payment-an admission check for $4,842- despite the victim's care costs accumulating to nearly $99,436 over the following year. Investigators allege Gray continued to deny payments to the facility. The criminal complaint further states that Gray had no employment or bank accounts of her own but had access to Hanson's account, which she was not authorized to use. Investigators allege that $79,097.28 from the account was unlawfully used for utility bills, online shopping, vehicle purchases, groceries, and other personal expenses unrelated to the exploited individual's care. Deputies also allege that checks from the account were written to Herman, Gray's live-in boyfriend, and another individual, who reportedly cashed the checks and returned the money to Gray, according to their statements during interviews. These transactions are alleged to have occurred between May 2023 and May 2024, after the victim had been admitted to the nursing home. The case remains under investigation by the Winneshiek County Sheriff's Office. Stay ahead of the curve! Subscribe to free newsletters for exclusive insights, local trends and analysis delivered straight to your inbox.