Paul Rush, founder and former president of the defunct audiobook retail chain Earful of Books, was convicted on 17 counts of fraud and money laundering last week in an Austin, Texas, court, according to Austin Business Journal.

Rush, who served as vice president and associate publisher of Oasis Audio at the time of his arrest and conviction, has offered his resignation to the Carol Stream, Ill.-based Christian audiobook supplier, effective tomorrow.

According to Austin Business Journal, the federal jury found Rush to be involved in a $2 million fraud scheme "designed to enrich the Austin-based chain … and himself." Convictions included "two counts of wire fraud, two counts of bank fraud, eight counts of making a false statement regarding a loan and five counts of money laundering."

Publishers Weekly said that during Earful of Books' 10-year run, which launched in 1992 and eventually ended in Chapter 7 bankruptcy liquidation, the business was "never profitable."

The trade publication also noted that "Rush obtained loans totaling more that $1.5 million from Texas banks using a forged signature" and stole "$529,000 from a friend's family trust from which he was a trustee."

Oasis Audio Publisher Edward A. Elliott said in a statement today: "We are grateful for Paul's outstanding contribution to the health and growth of our company over the last three years and are deeply saddened by the events that have led to his resignation. During our association, we have found Paul to be an open and straightforward professional. Mr. Rush is appealing the court's decision, and we wish him much success. He has been a valued associate and friend."

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