Annual Memorial Day Parade & Celebration
May 26 - Annual Memorial
Day Parade & Celebration.
Downtown Thomasville. NC’s
largest Memorial Day
celebration! Festivities
begin with a wreath-laying
ceremony followed by a
parade featuring military
dignitaries and equipment.
Military displays, free hot
dogs and drinks (where
available) and more! Events
start in the morning and
continue into the afternoon.
For more information visit
www.thomasvilletourism.com
or contact Mark Scott at
mark@thomasvilletourism.com
or 800-611-9907.
Annual Memorial Day Parade & Celebration
May 26
Annual Memorial Day Parade
& Celebration. Downtown
Thomasville. NC’s largest
Memorial Day celebration!
Festivities begin with a
wreath-laying ceremony
followed by a parade
featuring military
dignitaries and equipment.
Military displays, free hot
dogs and drinks (where
available) and more! Events
start in the morning and
continue into the afternoon.
For more information visit
www.thomasvilletourism.com
or contact Mark Scott at
mark@thomasvilletourism.com
or 800-611-9907.
IRS Announces Economic Stimulus Payment Schedules,
Provides Online Payment Calculator
WASHINGTON - The Internal
Revenue Service announced
today that it will begin
sending more than 130
million economic stimulus
payments starting May 2. The
initial round of weekly
payments will be completed
by early July.
The IRS also announced the
availability of a new online
calculator on IRS.gov to
help people determine the
amount of their stimulus
payments.
Stimulus payments will be
made by direct deposit to
people who choose to receive
their 2007 income tax
refunds through direct
deposit. All others will
receive their economic
stimulus payments in the
form of a paper check.
"To receive an economic
stimulus payment, people
just need to file their tax
returns as they usually do,"
said IRS Acting Commissioner
Linda E. Stiff. "The
payments will be automatic
for the vast majority of
taxpayers. Some lower-income
workers and recipients of
certain Social Security and
veterans benefits who don't
normally need to file a tax
return will need to do so in
order to receive a stimulus
payment. IRS.gov has all the
information people need to
help them obtain a stimulus
payment."
Stimulus payments will be
sent out in the order of the
last two digits of the
Social Security number used
on the tax return.
Because the IRS will use the
Social Security number to
determine when checks are
mailed, taxpayers may
receive their checks at
different times than their
neighbors or other family
members. On a jointly filed
return, the first Social
Security number listed will
determine the mail-out
time.
The IRS expects to make
about 34 million payments
within the first three weeks
after the payment schedule
begins May 2. With more than
130 million households
expected to receive stimulus
payments, more than 25
percent of the payments will
be made in the first three
weeks.
Taxpayers who choose direct
deposit on their federal
income tax returns can
expect to receive their
economic stimulus payments
between May 2 and May 16
provided their returns were
received and processed by
April 15, 2008. For
taxpayers who did not choose
direct deposit on their tax
return but whose returns
were processed by April 15,
the paper checks will be in
the mail starting May 16,
with the initial mailings
completed by around July
11.
The IRS is also announcing
today the availability of an
on-line calculator on
IRS.gov to help taxpayers
determine if they are
eligible to receive an
economic stimulus payment
and if they are, how much
they can expect. Anyone who
has prepared a 2007 income
tax return can use the
calculator. It will ask
taxpayers a series of
questions, so they should
have their 2007 tax returns
handy. After answering the
questions, the calculator
will provide the projected
dollar value of the
payment.
Below are the schedules for
economic stimulus payments
related to tax returns
processed by April 15,
2008.
Stimulus Payment Schedule
for Tax Returns
Received
and Processed by April 15
Direct Deposit Payments
If the last two digits of
your Social Security number
are:
Your economic stimulus
payment deposit should be
sent to your bank account
by:
00 - 20.....
May 2
21 - 75.....
May 9
76 - 99.....
May 16
Paper Check
If the last two digits of
your Social Security number
are:
Your check should be in the
mail by:
00 - 09.....
May 16
10 - 18....
May 23
19 - 25....
May 30
26 - 38....
June 6
39 - 51.....
June 13
52 - 63.....
June 20
64 - 75....
June 27
76 - 87.....
July 4
88 - 99.....
July 11
A small percentage of tax
returns will require
additional time to process
and to compute a stimulus
payment amount. For these
returns, stimulus payments
may not be issued in
accordance with the schedule
above, even if the tax
return was processed by
April 15.
All or part of an economic
stimulus payment may be
applied to back taxes or
certain other debts of the
taxpayer, such as delinquent
child support and student
loans. In such cases, the
IRS will send a letter to
the taxpayer explaining the
offset.
To accommodate people whose
tax returns are processed
after April 15, the IRS will
continue sending weekly
payments. People who file
tax returns after April 15
and receive a refund can
expect to receive their
economic stimulus payments
in about two weeks after
receiving their tax refunds,
but not before the date they
would have received their
payment if the return had
been processed by April 15.
To ensure taxpayers receive
their stimulus payment this
year, they must file a tax
return by Oct. 15.
Two bureaus of the Treasury
Department are involved in
making the payments. The IRS
will calculate the amount of
each economic stimulus
payment based on the tax
year 2007 income tax returns
it receives. The IRS will
then forward the information
to the Financial Management
Service (FMS), which is the
bureau of the Treasury
Department that makes
federal payments such as
Social Security benefits,
federal income tax refunds
and, now, economic stimulus
payments.
The IRS reminds taxpayers
that they can get their
stimulus payments faster by
using direct deposit when
they file their tax
return.
In addition, the IRS urges
taxpayers to file
electronically. For people
who normally dont need to
file a tax return, the IRS
and Free File Alliance have
a special program set up to
allow for free electronic
filing.
First ever Got to Be NC Festival set for State Fairgrounds June 5-8
RALEIGH -- A four-day
festival celebrating North
Carolina’s agricultural
heritage and locally
produced foods will take
place June 5-8 at the State
Fairgrounds in Raleigh.
The Got to Be NC Festival
will feature a food trade
show, antique tractors,
draft horse and antique
tractor pulls, the official
state barbecue cooking
championship, carnival
rides, games, a petting zoo,
pig races, a bluegrass band
competition and country,
bluegrass and beach music
performances.
Festival hours will be 3
p.m.-midnight Thursday and
Friday, and 10 a.m.-midnight
Saturday and Sunday.
Admission is free. Tickets
to events in the Sam Rand
Grandstand will be $5.
“We’re excited to show off
agriculture in North
Carolina with more than 70
N.C. food companies sampling
and offering delicious foods
for sale,” said Agriculture
Commissioner Steve
Troxler. “In addition, this
could be the largest
gathering of antique farm
equipment in North Carolina,
based on the response we’ve
gotten so far. Mix in the
N.C. Barbecue Championship
and great music, and it’s
going to be a real
celebration of our
agricultural heritage.”
Teams from across North
Carolina will compete in the
2008 N.C. State Barbecue
Cooking Championship on
Friday and Saturday. It is
sponsored by the N.C. Pork
Council.
The bluegrass band
competition will be in
Heritage Circle Saturday
from noon to 5 p.m. There
also will be daily music
from Sweet Potato Pie, a
North Carolina band that
performs a musical blend of
bluegrass, country,
classical and blues.
Each night, the Sam Rand
Grandstand will host
entertainment. Greenville’s
Super Grit Cowboy Band kicks
off the series Thursday. The
Coastline Band of Charlotte
brings beach music on
Saturday, and Steep Canyon
Rangers from Asheville plays
bluegrass on Sunday. The
winner of the bluegrass
competition will open for
the Sunday show. All
concerts begin at 8 p.m. A
draft horse and mule pull
will take place in the
Grandstand Friday from 6 to
9 p.m.
The key festival sponsor is
Kids’ Green Earth.
Additional sponsors include
Food Lion, Touchstone
Energy, Kerr Drug, Quality
Equipment LLC, Golden LEAF
Foundation, Clearwater and
Davi’s Guns.
For more information, log on
to www.ncagfest.com.
Blue Jean Ball
June 21
Blue Jean Ball.
Sponsored by Davidson County
Cancer Services. March
Motor Cars, Old Hwy 52,
Lexington. A fun casual
event with lots of food, fun
and entertainment. Raffle
for Porsche Boxster. Ticket
prices to be announced. For
tickets or more information
call 336-249-7265.
Fantastic Fourth of July Festival
July 4 -
6 -9:30 pm
Fantastic
Fourth of July Festival.
Finch Park, 15 Paul Beck
Road, Lexington. Sponsored
by the City of Lexington.
Music, rides and amusements
for children and kids of all
ages. A great family event.
Musical attractions to be
announced. The evening
concludes with fireworks!
For more information call
336-248-3960.
11th Annual Fireworks Celebration
July 4
Dusk High Rock Lake River
Rats Inc 11th Annual
Fireworks Celebration.
Oakwood Acres, near the N.C.
Highway 8 bridge in
Southmont. Alcoa Power
Generating Inc., Yadkin
Division, has partnered with
the High Rock Lake River
Rats and its sponsors to
produce an elaborate July
4th celebration on Abbotts
Creek. The event will
include a program of
patriotic music and a
spectacular fireworks show.
Parking is available at the
Hwy 8 Wildlife Access Area.
Free. For more information
call 336-247-0416.
38th Annual Southeast Old Threshers' Reunion
July 1-5
38th Annual Southeast Old
Threshers' Reunion. Denton
FarmPark, 1072 Cranford Rd,
Denton. Threshing with
Steam, Gas and Horses;
Sawmill; Shingle Mill;
Hundreds of tractors and
engines; Restored old
Buildings; Antique Tractor
Pulls; Horse Pull; Steam
Train Rides; Arts & Crafts;
Auction; Quilting Classes.
Daily admission: Adults $12,
Children under 12 $6,
Preschool are free. For more
information call: 336-859-
2755;
Annual "Tyro Tradition".
July 4-5 -
10 am – 5 pm
Annual "Tyro Tradition".
4564 NC Hwy 150, Lexington.
The restored house, built in
1840 as a plantation home
and tavern, will be open for
guided tours. Visitors can
also visit the corn crib
museum where over 200
artifacts are on display.
The event also includes yard
sales along Hwy 150.
Admission: adults $3.00,
school age children $1.00.
Additional information about
the house is available at
www.tyronc.com or 336-479-
7262 and 336-249-9676.
Uptown Lexington Summer Night Strolls & VeloSport Criterium
July 11 -
6-8 pm
Uptown Lexington
Summer Night Strolls &
VeloSport Criterium. Uptown
Lexington. Excitement on top
of excitement! The Uptown
Criterium is part of the
Piedmont VeloSport weekend
of bike races in Davidson
County. Come Uptown to see
the racing bikes, listen to
some great local music,
enjoy dinner out and shop
for something fun. It’s
summer and the living is
easy but exciting in Uptown.
For additional information
call 336-249-0383.
Davidson County Farmer's Markets
For more information call
336-242-2080
Lexington: Located at the
former train depot on
Railroad Street. Saturdays
beginning in May from 8 am
until Noon. Wednesdays
beginning in June from 4 pm
until dark.
Thomasville: At Guildord and
Commerce Streets. Saturdays
beginning in June 7 from 8
am until Noon. Thursdays
beginning in July from 4 - 7
pm.
Annual “Capture the Spirit of Davidson County”
Through
August 31 - Annual “Capture
the Spirit of Davidson
County” photo contest.
Sponsored by TRIP (Tourism
Recreation Investment
Partnership for Davidson
County Foundation). Entries
are sought from Davidson
County locations in these
categories: Heritage,
Events, Landscape, and
Destinations. Cash prizes
for each category as well as
a grand prize. Entries
accepted through August 31,
2008.
N.C. Department of Environment and Natural Resources
NORTH CAROLINA HEALTH
OFFICIALS ENCOURAGE
RESIDENTS TO ‘FIGHT THE
BITE!’
RALEIGH – State
environmental and public
health officials are
reminding all North
Carolinians that warmer
weather and rain bring
mosquitoes and ticks, which
carry dangerous diseases.
All North Carolinians are
urged to take simple steps
to prevent the threat of
biting insects and reduce
insect breeding conditions
around the home. “Spring
rains and warmer weather
provide ideal breeding
conditions for mosquitoes
and ticks,” said State
Epidemiologist Dr. Jeff
Engel. “Ticks and mosquitoes
can be more than just a
nuisance – they can also
make people seriously ill.
Now is the time to fight the
bite!”
Dr. Nolan Newton, chief of
the Public Health Pest
Management Section of the
Division of Environmental
Health, said that people can
take steps to prevent
illness.
“You can make your backyard
a whole lot less tick-
friendly,” he said. “Keep
grass short and remove
plants that attract wild
animals like deer and
rodents, which carry
ticks.”
Newton said that removing
any containers that hold
water will take away
mosquito breeding
grounds.
“Now is the time to take a
good look at your
environment, before the
mosquitoes really start
biting,” he said. “Things
like bird baths, old tires,
planters and even small
containers like tin cans can
give mosquitoes a place to
thrive.”
He added that it is also
important to remember to
make sure you tightly screen
all openings on rain barrels
used for water conservation.
A window screen makes an
excellent screening
mechanism on rain barrels to
prevent breeding grounds for
mosquitoes, while allowing
you to continue your
conservation efforts.
Engel and Newton said that
insect repellant can also be
useful, particularly against
mosquitoes. The Centers for
Disease Control and
Prevention recommend several
repellants against
mosquitoes – DEET, picaridin
and oil of lemon eucalyptus.
According to the CDC, oil of
lemon eucalyptus should not
be used on children under
three years old. Repellents
containing permethrin
provide excellent protection
against ticks but may only
be used on clothing.
Consumers should look for
products that contain the
CDC-recommended ingredients,
and should read and follow
all label instructions.
Exposure to both mosquitoes
and ticks can be limited by
wearing long-sleeved shirts,
long pants and socks. People
should also check themselves
and their families for ticks
when in tick-prone areas.
Proper and prompt removal of
ticks is the key to
preventing infection. Use
fine-tipped tweezers to
remove ticks, getting as far
forward near the head as
possible and pulling
steadily. Note the day you
removed the tick on a
calendar. If you become ill
in the next three weeks, be
sure to tell your physician
the date you removed the
tick.
Rocky Mountain spotted fever
is the most common tick-
borne illness in North
Carolina. According to the
N.C. Division of Public
Health, 544 cases of RMSF
were reported in North
Carolina during 2007. The
state also has other tick-
borne illnesses, including
Lyme disease, with 47 cases
reported last year and
ehrlichiosis with 54 cases.
Tick-borne diseases occur
statewide. La Crosse virus
is the most common mosquito-
borne illness; it is found
mostly in the western part
of the state. Two other
mosquito-borne diseases,
Eastern equine encephalitis
and West Nile virus, are
also found in North
Carolina. While Eastern
equine encephalitis is found
largely in the eastern part
of the state, West Nile
virus is found statewide.
For additional information
regarding mosquitoes and
ticks, please visit the
following Web sites:
www.deh.enr.state.nc.us/phpm,
www.epi.state.nc.us/epi/arbov
irus and
www.epi.state.nc.us/epi/tick.
Federal Bureau of Investigation
CONNECTICUT MAN SENTENCED TO
30 MONTHS IN PRISON
FOR CRIMINAL COPYRIGHT
INFRINGEMENT
Forty
Defendants Convicted in
Operation Copycat to Date
WASHINGTON – David M. Fish,
26, of Woodbury, Conn., was
sentenced yesterday in U.S.
District Court in San Jose,
Calif., to 30 months in
prison on charges of
criminal copyright
infringement and
circumvention, Assistant
Attorney General Alice S.
Fisher of the Criminal
Division and U.S. Attorney
for the Northern District of
California Joseph P.
Russoniello announced
today.
Fish was also sentenced by
U.S. District Judge Ronald
M. Whyte to a three year
term of supervised release
following his release from
prison, a mandatory special
assessment of $500, and the
forfeiture of computer and
other equipment used in
committing the copyright
offenses.
The case is part of
Operation Copycat, an
investigation by the FBI and
the U.S. Attorney’s Office
targeting online warez
groups, which illegally
distribute newly-released
movies, games, software and
music online. Operation
Copycat has resulted in 40
convictions thus far and is
part of a larger federal
crackdown against the
illegal online distribution
of copyrighted materials
known as Operation Site
Down.
On Feb. 27, 2006, Fish
pleaded guilty to five
counts in federal court in
San Jose, including four
counts in the Northern
District of California case
for conspiracy to commit
criminal copyright
infringement; distribution
of technology primarily
designed to circumvent
encryption technology
protecting a right of a
copyright owner and aiding
and abetting; circumventing
a technological measure that
protects a copyright work
and aiding and abetting;
copyright infringement by
electronic means and aiding
and abetting. On the same
day, Fish also pleaded
guilty to one count of
criminal infringement of a
copyright in the Southern
District of Iowa. The two
cases involved separate
investigations and conduct
in both jurisdictions. The
charges were consolidated
and prosecuted by the U.S.
Attorney’s Office for the
Northern District of
California.
In the Northern District
of California case,
according to court documents
and information presented at
the sentencing hearing, from
approximately August 2004 to
July 2005, Fish served as
the site operator as well as
a scripter, equipment
supplier, broker and encoder
for warez sites. As a site
operator, he built and
managed the warez site and
controlled the daily
operations of the site and
server. Fish also
circumvented technology
measures designed to protect
or limit access to
copyrighted materials.
Without circumvention, many
of the copyrighted works
could not be reproduced and
made available to others.
Once the DVDs were
circumvented, they were
uploaded onto the warez site
and downloaded and accessed
by hundreds of other warez
participants.
Scripters for warez
sites create, program and
help build the sites.
Suppliers provide an
unauthorized copyrighted
movie, game or software
while equipment suppliers
provide hardware (such as
hard drives, computer parts,
and computer servers) to the
warez site. Brokers find
groups to participate on the
warez site and encoders
circumvent the technological
measures and protections of
copyrighted works on the
DVDs designed to prevent
unauthorized access and
copying.
In the Southern
District of Iowa case, Fish
participated in a separate
warez site from Jan. 21,
2003, through April 21,
2004. The warez server used
in this case was determined
to contain approximately
13,000 pirated software
titles including movies,
games, utility software and
music. Transfer logs confirm
that defendant Fish assisted
in the uploading of 131
software titles and
downloading 373 software
titles to and from the warez
FTP server between Aug. 16,
2003, and March 29, 2004.
The Iowa case resulted from
an earlier national
initiative against online
piracy known as Operation
FastLink.
Operation Site Down
and Operation FastLink are
the largest and most
successful global criminal
enforcement actions ever
taken against the organized
piracy groups which are
responsible for most of the
initial illegal distribution
of copyrighted movies,
software, games and music on
the Internet. Consisting of
multiple FBI undercover
investigations, these two
operations have so far
resulted in a total of 108
felony convictions; more
than 200 search warrants
executed in 15 countries;
the confiscation of hundreds
of computers and illegal
online distribution hubs;
and the removal of more than
100 million dollars worth of
illegally-copied copyrighted
software, games, movies and
music from illicit
distribution channels.
Countries participating in
these U.S.-led operations
include: France, Canada,
Sweden, Denmark, the
Netherlands, the United
Kingdom, Portugal, Hungary,
Israel, Spain, Australia,
Singapore, Belgium and
Germany.
Assistant U.S. Attorney Mark
Krotoski, currently at the
Criminal Division’s Computer
Crime and Intellectual
Property Section (CCIPS)
prosecuted the case with the
support of Paralegal Lauri
Gomez. Assistant U.S.
Attorneys Hanley Chew and
Shawna Yen have also
assisted on the prosecution
of other defendants
convicted in Operation
Copycat. CCIPS Assistant
Deputy Chief Clem McGovern
and Assistant U.S. Attorney
Richard Richards prosecuted
the Southern District of
Iowa case with the
assistance of the FBI.
United States Department of Justice
Minneapolis couple indicted
for document trafficking,
conspiracy to commit a crime
against the U.S.
A Minneapolis couple was
indicted this week by a
federal grand jury in
connection with a scheme to
steal others’ identities for
the purpose of fraudulently
obtaining money and
prescription drugs.
Eric Christopher Thorsen,
25, and Amy Ruth Bergquist,
30, were both charged April
22 in Minneapolis with one
count of conspiracy to
commit a crime against the
United States, one count of
document trafficking and one
count of aggravated identity
theft. The targeted victims
were people the two met on
the Internet. Both Thorsen
and Bergquist made their
initial appearances in
federal court today.
Their indictment alleges
that from August 2007
through March 9, 2008,
Bergquist and Thorsen did
knowingly and willfully
conspire with each other to
commit several offenses
against the U.S. Those
offenses are: 1) knowingly
possessing with intent to
use unlawfully five or more
identification documents
which were not issued to the
defendants for their use; 2)
knowingly possessing and
using, without lawful
authority, the
identification of another
person with intent to commit
an unlawful act; and 3)
knowingly stealing and
taking mail from a
mailbox.
Thorsen and Bergquist
allegedly placed
advertisements on the
Internet seeking to meet
other adults to engage in
sexual acts, and would meet
those who responded to the
ads in either a hotel room
or a private residence. The
indictment alleges that
while Thorsen and Bergquist
were inside one of these
locations they would steal,
among other items, an
identification document of
one of the other adults.
The indictment also alleges
that Thorsen and Bergquist
would use the stolen
documents to fraudulently
obtain money and other
items, including
prescription drugs, as well
as steal mail from the
victims’ home mailboxes in
order to obtain personal
checks and other identifier
information.
More specifically, the
indictment highlights
several dates when Thorsen
and Bergquist allegedly
stole identification
documents. On Aug. 13, 2007,
they stole a victim’s
driver’s license and bank
debit card, and allegedly
used the card to make
purchases at a Bloomington
grocery store.
On Sept. 12, 2007, they
allegedly used a counterfeit
check to paid for two forged
prescriptions for Adderall
and Dexedrine in the name of
another victim. Also on
Sept. 12, they allegedly
purchased merchandise at a
Roseville store using
fraudulent checks in the
name of two victims. On
Sept. 16, they allegedly
purchased medical items from
a St. Paul store using a
counterfeit check in the
name of two victims.
On Sept. 18, they allegedly
cashed a counterfeit check
in the name of another
victim at a Richfield
grocery store, and cashed
another counterfeit check in
that victim’s name at a
Roseville store on Sept. 24.
On March 9, 2008, they
allegedly cashed a stolen
check at a Minnesota casino
and obtained cash from the
same casino using a victim’s
stolen bank credit card.
The indictment alleges that
on Sept. 29, 2007, the
defendants knowingly
possessed five or more
identification documents,
including the driver’s
licenses of three Minnesota
victims and one
Massachusetts victim, as
well as the birth
certificate of a fifth
victim.
If convicted, Thorsen and
Bergquist each face a
maximum penalty of five
years in prison on the
conspiracy count, five years
on the document trafficking
count and two years on the
identity theft count. All
sentences are determined by
a federal district court
judge.
This case is the result of
an investigation by the U.S.
Postal Inspection Service,
the U.S. Secret Service, the
Federal Bureau of
Investigation, the Minnesota
Financial Crimes Task Force,
the Roseville Police
Department, with assistance
from other local law
enforcement. The case is
being prosecuted by
Assistant U.S. Attorneys
Erica H. MacDonald and
Kimberly A. Svendsen.
An indictment is a
determination by a grand
jury that there is probable
cause to believe that
offenses have been committed
by the defendant. The
defendant, of course, is
presumed innocent until he
or she pleads guilty or is
proven guilty at trial.
Frank J. Magill,
Acting United States
Attorney< BR>
David Anderson,
Public
Affairs Specialist
(612) 664-5684; cell: (612)
730-2251
Former Oakdale Resident Indicted for Tax Evasion, Mail Fraud, and Embezzlement of Employees' Pension Plan
FRESNO, Calif.—United States
Attorney McGregor W. Scott
announced today that a grand
jury returned a six-count
superseding indictment
against PATRICK NEAL YOUNG,
40, formerly of Oakdale,
with four counts of tax
evasion for the years 2001
through 2004 and for
embezzlement of the
employees’ pension plan
accounts.
The case was investigated by
the Internal Revenue
Service, Criminal
Investigation Division and
the Federal Bureau of
Investigation.
According to Assistant
United States Attorney
Stanley A. Boone, who is
prosecuting the case, YOUNG
was the former operating
officer of Plyco Foundation
Vents, Inc. of Waterford,
California. Beginning in
2000 and continuing to
August 2004, the defendant
embezzled approximately
$710,389 from Plyco for his
own use. He used the
embezzled Plyco funds to
purchase a home in Oakdale,
landscape his yard, buy
automobiles, travel,
including a trip to Europe,
and for other personal
expenses. In May 2003, the
defendant requested that
certain employee benefit
accounts be closed because
the employees were no longer
working for the business. In
truth, however, some of the
employees were still working
for Plyco. The monies were
mailed to YOUNG who then did
not remit the pension funds
to the employees who were
entitled to them.
The tax evasion and
embezzlement of pension
benefit counts carry a
maximum of five years in
prison and/or a $250,000
fine. The mail fraud count
carries a maximum of 20
years in prison and/or a
$250,000 fine. The actual
sentence, however, will be
determined at the discretion
of the court after
consideration of the Federal
Sentencing Guidelines, which
take into account a number
of variables and any
applicable statutory
sentencing factors.
The charges are only an
allegation, and the
defendant is presumed
innocent until and unless
proven guilty beyond a
reasonable doubt.
U.S. Department of Justice
Ansonia Man Sentenced to 70
Months in Prison for
Participating in Two Jewelry
Store Armed Robberies
U.S. Department of
Justice
United States Attorney
District of Connecticut
Connecticut Financial
Center
157 Church Street
New Haven, Connecticut
06510
www.usdoj.gov/usao/ct
Nora R. Dannehy, Acting
United States Attorney for
the District of Connecticut,
announced that ANTHONY
CURRAL, 31, of Ansonia, was
sentenced today by Senior
United States District Judge
Ellen Bree Burns in New
Haven to 70 months of
imprisonment, followed by
three years of supervised
release, for his involvement
in two jewelry store armed
robberies. On February 5,
2008, CURRAL pleaded guilty
to one count of conspiracy
to commit Hobbs Act
robbery.
According to documents filed
with the Court and
statements made in court,
CURRAL, along with Charles
Kertesz, participated in the
armed robberies of Hannoush
Jewelry in Natick,
Massachusetts, on July 20,
2005, and Lux Bond and Green
in South Windsor,
Connecticut, on February 1,
2006. On each occasion,
Charles Kertesz entered the
store dressed in women's
clothing and wearing a wig.
He then brandished a firearm
and forcibly stole diamond
rings and other jewelry.
CURRAL served as a getaway
driver for both robberies.
On February 19, Kertesz
pleaded guilty to federal
charges related to these and
two other jewelry store
robberies. He awaits
sentencing.
Today, Judge Burns ordered
CURRAL, jointly and
severally with Kertesz, to
pay restitution in the
amount of $345,777.88 to the
victim jewelry stores and
their insurance company.
CURRAL has been detained
since his arrest on
September 25, 2007.
This matter was investigated
by the Federal Bureau of
Investigation - New Haven
Violent Crimes Safe Streets
Task Force, and the members
of local law enforcement
agencies including the
Greenwich, South Windsor,
Glastonbury, Bridgeport,
Ansonia, Shelton and Natick
(MA) Police Departments.
This case is being
prosecuted by Supervisory
Assistant United States
Attorney Anthony Kaplan and
Assistant United States
Attorney Paul Murphy.
CONTACT:
Tom Carson
Public Information Office
(203) 821-3722
(203) 996-1393 (cell)
U.S. Department of Justice
Ansonia Man Sentenced to 70
Months in Prison for
Participating in Two Jewelry
Store Armed Robberies
U.S. Department of
Justice
United States Attorney
District of Connecticut
Connecticut Financial
Center
157 Church Street
New Haven, Connecticut
06510
www.usdoj.gov/usao/ct
Nora R. Dannehy, Acting
United States Attorney for
the District of Connecticut,
announced that ANTHONY
CURRAL, 31, of Ansonia, was
sentenced today by Senior
United States District Judge
Ellen Bree Burns in New
Haven to 70 months of
imprisonment, followed by
three years of supervised
release, for his involvement
in two jewelry store armed
robberies. On February 5,
2008, CURRAL pleaded guilty
to one count of conspiracy
to commit Hobbs Act
robbery.
According to documents filed
with the Court and
statements made in court,
CURRAL, along with Charles
Kertesz, participated in the
armed robberies of Hannoush
Jewelry in Natick,
Massachusetts, on July 20,
2005, and Lux Bond and Green
in South Windsor,
Connecticut, on February 1,
2006. On each occasion,
Charles Kertesz entered the
store dressed in women's
clothing and wearing a wig.
He then brandished a firearm
and forcibly stole diamond
rings and other jewelry.
CURRAL served as a getaway
driver for both robberies.
On February 19, Kertesz
pleaded guilty to federal
charges related to these and
two other jewelry store
robberies. He awaits
sentencing.
Today, Judge Burns ordered
CURRAL, jointly and
severally with Kertesz, to
pay restitution in the
amount of $345,777.88 to the
victim jewelry stores and
their insurance company.
CURRAL has been detained
since his arrest on
September 25, 2007.
This matter was investigated
by the Federal Bureau of
Investigation - New Haven
Violent Crimes Safe Streets
Task Force, and the members
of local law enforcement
agencies including the
Greenwich, South Windsor,
Glastonbury, Bridgeport,
Ansonia, Shelton and Natick
(MA) Police Departments.
This case is being
prosecuted by Supervisory
Assistant United States
Attorney Anthony Kaplan and
Assistant United States
Attorney Paul Murphy.
CONTACT:
Tom Carson
Public Information Office
(203) 821-3722
(203) 996-1393 (cell)
Virginia Man Pleads Guilty in Connection with Mortgage Fraud Scheme
(Alexandria, Virginia) –
John Andreas Tsiaoushis, 40,
of Alexandria, Virginia,
pled guilty today to a two-
count information charging
him with mail fraud
affecting a financial
institution and giving false
testimony at a hearing in
the United States Bankruptcy
Court. Chuck Rosenberg,
United States Attorney for
the Eastern District of
Virginia; Joseph Persichini,
Jr., Assistant Director in
Charge, Federal Bureau of
Investigation, Washington
Field Office; Guy J.
Cottrell, Postal Inspector
in Charge, U.S. Postal
Inspection Service,
Washington Division; Jeffrey
Irvine, Special Agent in
Charge, U.S. Secret Service,
Washington Field Office; and
Eric M. Thorson, Inspector
General, Small Business
Administration, made the
announcement after the plea
was accepted by United
States District Judge Liam
O’Grady. Tsiaoushis faces a
maximum penalty of 30 years
in prison, 5 years
supervised release, and a
fine of approximately
$7,600,000 when he is
sentenced on July 18, 2008.
As part of the guilty plea,
Tsiaoushis agreed to the
entry of a Restitution
Order. The government
estimates the amount of
restitution due to be
approximately
$3,841,189.48.
Tsiaoushis admitted to
operating a mortgage fraud
scheme between approximately
December 2004 and November
2007. According to court
documents, Tsiaoushis
fraudulently attempted to
obtain an estimated
$4,353,600 and successfully
obtained an estimated
$3,677,000 through the
scheme. Court documents also
indicate that, while the
mortgage fraud was ongoing,
Tsiaoushis engaged in a
check kite scheme through
which he obtained an
estimated additional
$163,500 by overdrawing his
accounts with several
Virginia banks. To carry out
the mortgage fraud,
Tsiaoushis transferred or
refinanced two Virginia
residential properties, one
located in Vienna, Virginia,
and one located in
Alexandria, Virginia, on six
occasions. In applying for
loans, he provided the would-
be lenders with false
documentation, such as false
loan-payoff statements
purporting to be from
current mortgagees, and
false Certificates and
Affidavits of Satisfaction
purporting to be from prior
mortgagees. He then arranged
for the loan proceeds to be
misdirected to himself by
causing the title companies
closing the loans to send
checks for the proceeds,
which were ostensibly to be
used to pay off pre-existing
mortgages on the properties,
to false addresses. In
reality, the addresses were
commercial mail drop boxes
that had been opened by
friends, associates, and
family members. Tsiaoushis
diverted much of the money
to businesses in which he
had ownership interests.
Tsiaoushis, who had filed
for bankruptcy with the
United States Bankruptcy
Court for the Eastern
District of Virginia in
October 2005, also admitted
to giving false testimony in
a hearing before that court
about selling one of the
residential properties
involved in the mortgage
fraud scheme.
Khalil Salim Arbid, an
associate and former driver
for Tsiaoushis, was
sentenced on April 4, 2008
by United States District
Judge James C. Cacheris to
16 months in prison, 3 years
supervised release, and
ordered to pay $650,613.61
in restitution for his role
in the scheme.
The case was investigated by
the Federal Bureau of
Investigation, U.S. Postal
Inspection Service, U.S.
Secret Service, and Small
Business Administration.
Assistant United States
Attorney Thomas H. McQuillan
and Special Assistant United
States Attorney Dennis Early
of the Office of the United
States Trustee
are prosecuting the case for
the United States.
Jim Rybicki
Public Information
Officer
Phone (703) 842-4050
Fax: (703) 549-5202
Email:
usavae.press@usdoj.gov
Flowers and Ornamentals Brighten Landscape
RALEIGH – With longer,
warmer days and ample
rainfall, many homeowners
are anxious to get outside
to repair some of the damage
done to their landscapes by
last year’s drought. With a
little planning, landscapes
can be revived and filled
with plants that are
beautiful, drought tolerant
and locally grown.
“More than 1,000 varieties
of flowers and ornamentals
are raised in the state,”
said Agriculture
Commissioner Steve
Troxler. “North Carolina
ranks sixth nationally in
floriculture production and
we’re in the top 10 for
production of many high-
demand plants.”
Gov. Mike Easley recently
recognized May as
Floriculture Month, based on
the industry’s economic
impact of more than $202
million.
There are many resources
available to provide
homeowners information about
how to select appropriate
plants, such as the Water-
Wise Works! tips available
at TarHeelGardening.com.
Retail nurseries and garden
centers are also stocking
more drought tolerant plants
and are prepared to help
homeowners select plants to
suit their needs.
Gardeners can find North
Carolina-grown plants at
retail nurseries and garden
centers and at the state-run
farmers markets in
Asheville, Charlotte,
Colfax, Lumberton and
Raleigh. Many smaller
farmers markets also have
plant vendors on-site during
the spring season.
Additional information on
the North Carolina
floriculture industry is
available at the N.C.
Department of Agriculture
and Consumer Services’ Web
site, www.ncagr.com, or the
N.C. Commercial Flower
Growers Association Web
site, www.nccfga.org
NCDA&CS Public Affairs
Division, Brian Long,
Director
Mailing Address:
1001 Mail Service
Center,
Raleigh NC 27699-
1001
Physical Address:
2 West Edenton Street,
Raleigh NC 27601
Phone: (919) 733-4216;
FAX: (919) 733-5047
CONTACT:
John Aydlett, marketing
specialist
NCDA&CS Marketing Division
(252) 331-4773
The United States Department of Justice
DRUG TRAFFICKER USES HOT
IRON TO SEND MESSAGE,
INDICTMENT SAYS
KANSAS CITY, KAN. – A Kansas
man was assaulted with a hot
iron over a drug deal,
according to a federal
indictment filed Thursday
charging five individuals
with trafficking in crack
cocaine.
Cecil A. Brooks, 45; L emark
D. Robertson, 46; Ronda R.
Barnett, 40; Gaylon W.
Steele, 50; and Luis M.
Rivera-Cotto are charged in
a 12-count superseding
indictment. The crimes are
alleged to have occurred
from April 3 to July 14,
2006, in Topeka, Kan., and
Kansas City, Kan.
The indictment charges that
the defendants conspired to
distribute, and to possess
with intent to distribute,
crack cocaine within 1,000
feet of Topeka High School,
800 W. 10th Street in
Topeka, Kan.
According to the indictment,
on Nov. 23, 2007, in
furtherance of the
conspiracy, Brooks attacked
and injured another man,
Adam G. Newton, during an
encounter in the Winstone
Apartment Complex, 800 SW
Polk in Topeka. Brooks
accused Newton of being
responsible for stealing or
losing $1,000 work of crack
cocaine that belonged to
Brooks. Brooks struck Newton
on the side of the head with
a bottle, knocking Newton to
the ground. Then Brooks
picked up a hot iron and
burned Newton on the back
with the iron several times.
The attack was for the
purpose of sending a message
to Newton and other people
that Brooks and his co-
conspirators would not
tolerate anyone stealing
crack cocaine from them.
The defendants face the
following charges:
Cecil A. Brooks: One count
of conspiracy, and one count
of maintaining a residence
(1942 N. 24th, Kansas City,
Kan.) in furtherance of drug
trafficking.
Lemark D. Roberson: One
count of conspiracy, one
count of maintaining a
residence (800 SW Polk, Apt.
38) in furtherance of drug
trafficking; one count of
maintaining a residence (800
SW Polk, Apt. 35) in
furtherance of drug
trafficking; and one count
of possession with intent to
distribute crack cocaine.
Ronda R. Barnett: One count
of conspiracy, and one count
of distributing crack
cocaine within 1,000 feet of
Topeka High School.
Gaylon W. Steele: One count
of conspiracy and three
counts of distributing crack
cocaine within 1,000 feet of
Topeka High School.
Luis M. Rivera-Cotto: One
count of conspiracy, two
counts of distributing crack
cocaine within 1,000 feet of
Topeka High School, one
count of maintaining a
residence (800 SW Polk, Apt.
16) in furtherance of drug
trafficking, and one count
of possession with intent to
distribute crack cocaine.
Upon conviction, the crimes
carry the following
penalties:
– Conspiracy: Not less than
10 years and not more than
life in federal prison and a
fine up to $8 million.
– Maintaining a residence in
furtherance of drug
trafficking: Not less than
one year and not more than
40 years and a fine up to $2
million.
– Distribution of crack
cocaine within 1,000 feet of
a school: Not less than 1
year and not more than 40
years and a fine up to $2
million.
– Possession with intent to
distribute more than 5 grams
of crack cocaine within
1,000 feet of a school: Not
less than 5 years and not
more than 80 years and a
fine up to $4 million.
– Possession with intent to
distribute 5 grams or less
of crack cocaine within
1,000 feet of a school. Not
less than 1 year and not
more than 40 years and a
fine up to $2 million.
The Topeka Police
Department, the Drug
Enforcement Administration
and the Federal Bureau of
Investigation worked on the
case. Assistant U.S.
Attorney Tris Hunt is
prosecuting.
OTHER INDICTMENTS
A grand jury meeting
Thursday in Kansas City also
returned the following
indictments:
Raymond F. Gentry is charged
with intellectual property
crimes. The crimes are
alleged to have occurred
from April 3, 2006, to July
14, 2006, in Shawnee County,
Kan.
Gentry is charged with one
count of unlawfully making
copies of copyrighted motion
pictures on DVDs, and one
count of circumventing
technological measures meant
to protect the copyrighted
DVDs. A separate count seeks
the forfeiture of a DVD
duplicator, a computer and
DVDs seized during the
execution of a search
warrant at his home in
Topeka.
If convicted, he faces a
penalty of not more than 5
years in federal prison and
a fine up to $250,000 on the
charge of unlawfully making
copies; and a maximum
penalty of 5 years and a
fine up to $500,000 on the
charge of circumventing
technology to protect
copyrighted material.
The Federal Bureau of
Investigation worked on the
case. Assistant U.S.
Attorney Kimberly Hare is
prosecuting.
Dion Coates, 28, is charged
with escaping from custody
at the Federal Prison Camp
in Leavenworth, Kan., after
having been convicted of
drug trafficking in
Missouri. The crime is
alleged to have occurred
April 14, 2008.
If convicted, he faces a
maximum penalty of 5 years
and a fine up to $250,000.
The U.S. Marshals Service is
investigating the case and
attempting to apprehend
Coates. Assistant U.S.
Attorney Scott Rask is
prosecuting.
Erick Jeovany Lopez-Flores,
26, a citizen of El
Salvador, and Felix Antonio
Guardado-Delgado, 21, a
citizen of El Salvador, are
charged with one count of
conspiracy to pass
counterfeit bank drafts, two
counts of passing
counterfeit bank drafts, and
one count of possessing
false documents in order to
stay in the United States.
The crimes are alleged to
have occurred April 12,
2008, in Shawnee County,
Kan.
If convicted, they face a
maximum penalty of 5 years
in federal prison and a fine
up to $250,000 on the
conspiracy charge, and a
maximum penalty of 10 years
and a fine up to $250,000 on
each of the other counts.
The U.S. Secret Service
investigated. Assistant U.S.
Attorney Randy Hendershot is
prosecuting.
James M. Zimmerman, 47, is
charged with one count of
possession with intent to
distribute methamphetamine,
and one count of maintaining
a residence at 138 O Lane,
Clearview City, Kan., in
furtherance of drug
trafficking. The crimes are
alleged to have occurred in
August 2006 in Johnson
County, Kan.
If convicted, he faces a
penalty of not less than 5
years and not more than 40
years and a fine up to $2
million on the possession
charge, and a penalty of not
less than year and not more
than 40 years and a fine up
to $2 million on the charge
of maintaining a residence
in furtherance of drug
trafficking. The Johnson
County Sheriff’s Office
investigated. Assistant U.S.
Attorney David Zabel is
prosecuting.
Christopher Jackson, 32, is
charged with unlawful
possession of a home made
knife while he was an inmate
at the U.S. penitentiary in
Leavenworth, Kan. The crime
is alleged to have occurred
March 5, 2007.
If convicted, he faces a
maximum of 5 years in
federal prison and a fine up
to $250,000. The Federal
Bureau of Investigation
worked on the case.
Assistant U.S. Attorney
Sheri McCracken is
prosecuting.
Juan Cenciceros-Jurado, 38,
a citizen of Mexico, is
charged with unlawfully re-
entering the United States
after being convicted of an
aggravated felony and
deported. He was found April
8, 2008, in Kansas City,
Kan.
If convicted, he faces a
maximum penalty of 20 years
in federal prison and a fine
up to $250,000. Immigration
and Customs Enforcement
investigated. Assistant U.S.
Attorney Kim Martin is
prosecuting.
Salvador Beltran-Lara, 28,
Kansas City, Kan., is
charged with one count of
unlawful possession of a
firearm by an illegal alien
and one count of unlawful
possession of a firearm that
had been altered to remove
the serial number. The
crimes are alleged to have
occurred March 23, 2008, in
Kansas City, Kan.
If convicted, he faces a
maximum penalty of 10 years
in federal prison and a fine
up to $250,000 on the charge
of unlawful possession by an
illegal alien, and a maximum
of 5 years and a fine up to
$250,000 on the charge of
possessing a firearm that
had been altered to remove
the serial number.
Immigration and Customs
Enforcement investigated.
Assistant U.S. Attorney Kim
Martin is prosecuting.
As in any criminal case, a
person is presumed innocent
until and unless proven
guilty. The indictments
filed merely contain
allegations of criminal
conduct.
Contact: Jim Cross
PHONE: 316-269-6481
FAX: 316-269-6420
United States Attorney
EAST HAVEN HOUSING AUTHORITY EXECUTIVE DIRECTOR, HUSBAND, CHARGED WITH STEALING HUD PROGRAM FUNDS
Nora R. Dannehy, Acting
United States Attorney for
the District of Connecticut,
and Kenneth M. Donohue,
Inspector General for the
U.S. Department of Housing
and Urban Development,
Office of Inspector General,
today announced that
CASSANDRA ASHE, 36, and her
husband JONATHAN ASHE, 43,
of North Haven, have been
arrested pursuant to a
criminal complaint charging
them with conspiracy and
theft from a program
receiving federal funds.
CASSANDRA ASHE is the
Executive Director of the
East Haven Housing
Authority.
The affidavit in support of
the criminal complaint
alleges that CASSANDRA ASHE
and JONATHAN ASHE have
engaged in an ongoing scheme
to steal money from a bank
account used by the East
Haven Housing Authority to
administer the U.S.
Department of Housing and
Urban Development (HUD)
Section 8 Housing Choice
Voucher Program in East
Haven. Under the program,
qualifying low-income
individuals receive
assistance in obtaining
rental housing on the
private market from HUD. It
is alleged that from
approximately May 1, 2007
through March 2008,
CASSANDRA ASHE and JONATHAN
ASHE conspired to and did
steal approximately $173,000
from the East Haven Housing
Authority bank account
through approximately 253
separate ATM withdrawals.
CASSANDRA ASHE and JONATHAN
ASHE were arrested this
morning. They appeared today
before United States
Magistrate Judge Thomas P.
Smith in Hartford and were
released on bonds in the
amount of $200,000.
If convicted, CASSANDRA ASHE
and JONATHAN ASHE each faces
a maximum term of
imprisonment of 10 years and
a fine of up to $250,000 on
the charge of theft from a
program receiving federal
funds, and a maximum term of
imprisonment of five years
and a fine of up to $250,000
on the conspiracy charge.
Acting U.S. Attorney Dannehy
stressed that a criminal
complaint is only a charge
and is not evidence of
guilt. The defendants are
entitled to a fair trial at
which it is the Government's
burden to prove guilt beyond
a reasonable doubt.
This matter was investigated
by the U.S. Department of
Housing and Urban
Development, Office of
Inspector General, with the
assistance of the United
States Postal Inspection
Service and the Federal
Bureau of Investigation. The
case is being prosecuted by
Assistant United States
Attorney Susan Wines.
Federal Bureau of Investigation
FORMER UCLA HOSPITAL
EMPLOYEE INDICTED FOR
SELLING INFORMATION FROM
CELEBRITIES’ MEDICAL FILES
TO MEDIA
A Los Angeles woman has been
indicted for accessing the
private medical records of
celebrity patients at the
UCLA Medical Center and
selling information obtained
from those files to a
national media outlet.
Lawanda Jackson, 49, w as
indicted under seal on April
9. That indictment, which
alleges one count of
illegally obtaining
individually identifiable
health information for
commercial advantage, was
unsealed this morning.
Jackson, an administrative
specialist at the UCLA
Medical Center from 2006
until she w as terminated on
May 21, 2007, allegedly
received at least $4,600
from the media outlet in
exchange for providing the
private medical information.
The media outlet paid
Jackson by w riting checks
to her husband, the
indictment alleges.
Jackson, who faces a
potential sentence of 10
years in prison if she is
convicted of the charge, is
expected to be arraigned on
the felony count on June 9
in United States District
Court in Los Angeles.
An indictment contains
allegations that a defendant
has committed a crime. Every
defendant is presumed
innocent until and unless
proven guilty beyond a
reasonable doubt.
This case w as investigated
by Federal Bureau of
Investigation.
Thomas P. O’Brien
United States Attorney
Central District of
California
Thom Mrozek,
Public
Affairs Officer
(213) 894-6947
thom.mrozek@usdoj.gov
www.usdoj.gov/usao/cac
FIRST DEFENDANT IN D.C. PROPERTY TAX REFUND FRAUD SCHEME CONVICTED OF RECEIVING STOLEN PROPERTY AND MONEY LAUNDERING CHARGES
Greenbelt, Maryland -Ricardo
R. Walters, age 33, of Ft.
Washington, Maryland,
pleaded guilty today to
receipt of stolen property
and conspiracy to commit
money laundering in
connection with a property
tax refund scheme in which
millions of dollars were
stolen from the District of
Columbia Office of Tax and
Revenue (DC Tax Office),
announced United States
Attorney for the District of
Maryland Rod J. Rosenstein
and U.S. Attorney for the
District of Columbia Jeffrey
A. Taylor.
According to the plea
agreement, Ricardo Walters
owned a home cleaning
business called Provident
Home Services. From January
2006 through November 2007,
a co-conspirator provided
checks to Walters that were
fraudulently issued from the
DC Tax Office. Walters and
others deposited the checks
into a Provident Home
Services bank account and,
using the funds from the
deposited checks, obtained
cashier’s checks made out to
Walters and other
coconspirators. Walters
personally deposited at
least three checks totaling
$1,229,315.16. A total of 10
fraudulent District of
Columbia checks totaling
$4,205,318.77 were deposited
in the Provident Home
Services account. Walters
regularly reviewed the bank
statement of the account.
Walters also conducted
transactions to distribute
the funds from the District
of Columbia government
checks, including 18
transactions directing
$795,000 to himself and at
least 16 transactions
distributing $2,345,047 to
four co-conspirators.
Walters faces a maximum
sentence of 10 years in
prison for receipt of stolen
property and a maximum of 20
years in prison for
conspiracy to commit money
laundering. U.S. District
Judge Alexander Williams,
Jr. has scheduled sentencing
for July 23, 2008 at 9:30
a.m.
United States Attorneys Rod
J. Rosenstein and Jeffrey A.
Taylor thanked the Federal
Bureau of Investigation; the
Internal Revenue Service -
Criminal Investigation; the
Inspector General’s Office
for the District of
Columbia; the District of
Columbia Office of Tax and
Revenue, Criminal
Investigation Division; the
Treasury Inspector General
for Tax Administration; and
the District of Columbia
Office of the Chief
Financial Officer, Office of
Integrity and Oversight for
their investigative work.
Mr. Rosenstein commended
Assistant United States
Attorneys Jonathan Su and
Deborah Johnston from the
District of Maryland and
Assistant United States
Attorneys Timothy Lynch and
David Johnson from the
District of Columbia, who
are prosecuting the case.
CONTACT AUSA VICKIE E.
LEDUC or
MARCIA MURPHY at (410) 209-
4885
U.S. Department of Justice
United States Attorney
Eastern District of
Pennsylvania
615 Chestnut Street
Suite
1250
Philadelphia,
Pennsylvania 19106-4476
(215) 861-8200
CEO OF ELECTRONICS COMPANIES
PLEADS GUILTY TO BANK FRAUD
PHILADELPHIA - Carl Walter
Spitko, of Rydal, PA, CEO of
Maintech, Inc. and Sentek,
LLC, both now defunct, which
had offices and a warehouse
in Huntingdon Valley and
Horsham, PA, pleaded guilty
today to 11 counts of bank
fraud and 2 counts of aiding
and abetting, announced
United States Attorney
Patrick L. Meehan. Spitko
was indicted January 11,
2007 on charges that he
engaged in a scheme to
defraud Wachovia Bank and
its predecessor in interest,
First Union, from August
2001 to January 2005.
Maintech was in the business
of manufacturing,
distributing and selling
laminators for the printed
circuit board industry,
selling various spare parts
relating to that equipment,
and servicing that
equipment, as well as
related handling equipment
and preheater equipment.
Maintech had a line of
credit with Wachovia Bank,
secured by, among other
things, Maintech’s eligible
accounts receivable.
At today’s hearing, Spitko
admitted that he had schemed
to defraud the bank by doing
a number of things,
including falsifying the
amount of Maintech’s
accounts receivable, which
were the security for the
loan; concealing money and
property from the bank, once
Maintech had stopped paying
on the loan; opening up a
new company, Sentek, in
order to use and sell
Maintech’s assets to avoid
repaying the bank; and
giving money to an employee
to pay Sentek’s expenses,
out of the employee’s
personal bank account, to
hide the business of Sentek
from the bank. The
defendant’s scheme defrauded
the bank out of
approximately $1,454,879.84.
At today’s hearing, Spitko
admitted that in spring,
2002, the bank learned that
Maintech was overadvanced on
its line of credit by over
$1,200,000. After Wachovia
entered judgments by
confession against Maintech,
the defendant and his wife,
due to Maintech’s defaults
under the line of credit,
the defendant tried to
conceal assets of Maintech
from Wachovia by
transferring Maintech’s
assets, employees, vendors
and customers to a new
entity, called Sentek.
Among other things, Spitko
admitted that he closed down
Maintech on Friday, June 6,
2003, and opened Sentek the
following Monday morning,
June 9, 2003, in the same
location, using the same
employees, and simply giving
his employees new cellular
telephones. The defendant
admitted that he operated
Sentek as merely a
continuation of Maintech,
using Maintech’s assets,
employees, vendors and
customers in order to defeat
Wachovia’s rights under the
security agreement and his
personal guarantee.
Spitko also admitted that in
May 2003, before he opened
Sentek, he gave cash and
checks drawn on banks other
than Wachovia, to an
employee of Maintech and
directed that employee to
deposit the cash and checks
into the employee’s personal
bank account and pay a
vendor of Maintech and
certain start-up costs of
Sentek, in order to
facilitate the creation and
operation of Sentek, while
hiding Sentek’s existence
from Wachovia.
Under the now-advisory
Sentencing Guidelines,
Spitko faces a likely
sentence in the range of 46
to 71 months in prison.
Sentencing is scheduled for
July 31, 2008.
The case was investigated by
the Federal Bureau of
Investigation, Fort
Washington Resident Agency,
and has been assigned to
Assistant United States
Attorney Mary E. Crawley.
BEAUMONT MAN GETS FEDERAL PRISON SENTENCE FOR HURRICANE FRAUD
BEAUMONT TX – United States
Attorney John L. Ratcliffe
announced that a 44-year-old
Beaumont man has pleaded
guilty and been sentenced to
federal prison for hurricane-
related fraud in the Eastern
District of Texas.
DEMITRI LEE DAVIS was
indicted by a federal grand
jury on September 6, 2007
and charged with making a
false statement to FEMA in
connection with an
application he filed for
federal disaster relief. He
pleaded guilty to those
charges today and was
sentenced to 7 months in
federal prison by United
States District Judge Thad
Heartfield.
According to information
presented in court,
beginning in October 2005,
Davis filed a claim with
FEMA in which he requested
Disaster Housing and
Individual Assistance for
losses he reportedly
suffered from Hurricane
Rita, although he did not
suffer those losses. Davis
received $2,000.00 in
assistance as a result of
his fictitious claims.
In September 2005, the U.S.
Department of Justice
created the Hurricane
Katrina Fraud Task Force,
designed to deter,
investigate and prosecute
disaster-related federal
crimes such as charity
fraud, identity theft,
procurement fraud and
insurance fraud. The
Hurricane Katrina Fraud Task
Force – chaired by Assistant
Attorney General Alice S.
Fisher of the Criminal
Division – includes members
of the FBI, the Federal
Trade Commission, the U.S.
Postal Inspection Service,
and the Executive Office for
United States Attorneys,
among others.
This case is being
investigated by the United
States Postal Service and
the Department of Homeland
Security Office of Inspector
General and prosecuted by
Assistant United States
Attorney Randall L. Fluke.
CONTACT: DAVILYN WALSTON
PUBLIC INFORMATION OFFICER
PHONE: (409) 839-2538
CELL: (409) 553-9881
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