Appalachian Trail hiker 'Bismarck' was suspect wanted by FBI in $9m fraud case

James Hammes has pleaded not guilty to the allegations and is about to stand trial

James Hammes went missing in 2009 (AP)

To the other walkers he encountered on the Appalachian Trail he was “Bismarck” – a friendly hiker with a thick beard who became a regular face on the popular 2,000 mile pathway.

To Susie Montgomery, owner of the four-bedroom Montgomery Homestead Inn, he was another person seeking to “forget life’s stresses” and enjoy a slower, simpler life.

But to the agents of the FBI, “Bismarck” was in truth James Hammes, a white-collar crime suspect missing since 2009 and a man at the centre of an alleged $9m fraud. The agents arrested him earlier this year at Ms Montgomery's property.

James Hammes went missing in 2009 (AP)

“I’d say he was one of my favourite guests,” she told the Associated Press of the customer who was led away in handcuffs.

“He was a smart man, interesting to talk to; a pleasant personality. All of the other people who stayed here liked him.”

The 53-year-old accountant from Lexington, Kentucky, currently in an Ohio county jail where he has pleaded not guilty. He is scheduled for trial next month in US District Court in Cincinnati on charges that he embezzled nearly $9m from his Ohio-based employer.

The authorities have said little about what they believe happened to the money or about Mr Hammes’ whereabouts the past six years, though he seems to have been hiding in plain sight much of the time.

“It’s still an ongoing investigation,” FBI spokesman Todd Lindgren said.

“I think the most surprising thing about it to me is he had high visibility on the Appalachian Trail,” said David Miller of Titusville, Florida, who writes a guidebook called The AT Guide and chronicled his own journey in a book, AWOL on the Appalachian Trail.

Mr Miller said he knew about Bismarck, who showed up in photos in hikers’ journals and sent Miller notes for his guidebook updates, such as whether a hotel was giving hikers special rates.

Hikers posted on social media selfies with Bismarck; one shows a laughing Bismarck in a water gun battle. “He was a little more gregarious and social than the typical hiker,” Mr Miller told the AP.

FBI agent Angela Byers said at the times of Mr Hammes' arrest: “I want to thank the hard-working special agents and police officers who have been involved with this investigation over the last several years. Their persistent work led to the arrest of Mr Hammes and will allow for the criminal justice process to continue in this case.”