ST. LOUIS, MO — 1/19/2014 - Three St. Louis-area businessmen recently surrendered to authorities on two separate indictments alleging bank fraud against Excel Bank, which failed in 2012 after receiving $4,000,000 in capital from the Treasury Department through the Troubled Asset Relief Program (TARP).
According to the indictments, William Glasgow owned dozens of rental properties as part of his real estate business, Glasgow Realty, and did business with Excel Bank, the holding company of which was Investors Financial Corporation of Pettis County, Missouri. The indictment states that Glasgow had two loans on his rental properties, which he received by falsifying documentation.
In a separate unrelated indictment, James Crews and Michael Hilbert are alleged to have engaged in the real estate business, doing business through various entities including Crews Corporation, Hillcrew Properties, Merz Properties, Eagle Group, and Marathon RE. They owned dozens of rental properties in the St. Louis area and are alleged to have defrauded Excel Bank by submitting numerous draw requests for hundreds of thousands of dollars in escrow funds set aside for improvements to those properties.
William Glasgow, Town & Country, Missouri, was indicted by a federal grand jury on two felony counts of bank fraud. In a separate unrelated indictment, James Crews, Wentzville, Missouri; and Michael Hilbert, St. Charles, Missouri, were indicted the same day on two felony counts each of bank fraud. The indictments were returned December 11, 2013, but remained sealed until the defendants appeared in federal court for arraignment on Jan. 10 in St. Louis.
If convicted, each count of bank fraud carries a maximum penalty of 30 years in prison and/or fines up to $1 million. In determining the actual sentences, a judge is required to consider the U.S. Sentencing Guidelines, which provide recommended sentencing ranges.
The case was investigated by the Office of the Special Inspector General for the Troubled Asset Relief Program and the Federal Bureau of Investigation. Assistant United States Attorney Tom Albus is handling the case for the U.S. Attorney’s Office.
Defendants are presumed innocent until proven guilty.
Source: Federal Bureau of Investigation
MARK TWAIN: FATHER OF AMERICAN LITERATURE -- FACT FACTS
ABOVE: Samuel Clemens, aka Mark Twain, was cemented as a premier writer of late 19th century America with his works "The Adventures of Tom Sawyer" and "Adventures of Huckleberry Finn." Find out more about his life and writing in this video.
Showing posts with label property. Show all posts
Showing posts with label property. Show all posts
FBI: Violent Crime Up During First Half of 2012
WASHINGTON, D.C., - 1/27/2013 - Statistics released this month in the FBI’s Preliminary Semiannual Uniform Crime Report indicate that the number of violent crimes reported in the first six months of 2012 increased 1.9 percent when compared with figures from the first six months of 2011. The number of property crimes increased 1.5 percent for the same time frame. The report is based on information from more than 13,300 law enforcement agencies that submitted three to six comparable months of data to the FBI in the first six months of 2011 and 2012.
Violent Crime: Two of the four offenses in the violent crime category—murder and non-negligent manslaughter and forcible rape—show decreases when data from the first six months of 2012 are compared with data from the first six months of 2011. The number of murders declined 1.7 percent, and the number of rapes decreased 1.4 percent. However, robbery offenses increased 2.0 percent, and aggravated assault increased 2.3 percent.
Law enforcement agencies in all but one of the six city population groups reported increases in violent crime. Cities with populations of 250,000 to 499,999 showed an increase of 4.7 percent, the largest increase among the city population groups. Cities with less than 10,000 inhabitants experienced the only decline (0.7 percent) in violent crime offenses.
Violent crime increased 0.7 percent in metropolitan counties and 0.6 percent in non-metropolitan counties.
Violent crime increased in each of the nation’s four regions. The largest increase, 3.1 percent, was in the West, followed by 2.5 percent in the Midwest, 1.1 percent in the South, and 1.1 percent in the Northeast.
Property Crime: All three categories of property crime—burglary, larceny-theft, and motor vehicle theft—showed increases in the number of offenses from January to June 2012 when compared with data for the same months of 2011. Larceny-theft offenses increased 1.9 percent. There was a 1.7 percent increase in the number of motor vehicle thefts and a 0.1 percent increase in burglary offenses.
Each of the six city population groups had increases in the number of property crimes. Law enforcement agencies in cities with populations of 10,000 to 24,999 inhabitants reported the largest increase, 2.9 percent. Property crime in non-metropolitan counties decreased 0.4 percent; property crime in metropolitan counties remained virtually unchanged.
Three of the four regions reported increases in the number of property crime: 4.7 percent in the West, 4.0 percent in the Northeast, and 1.3 percent in the Midwest. Property crime declined 1.4 percent in the South.
Arson: In the Uniform Crime Reporting (UCR) program, arson offenses are collected separately from other property crimes. The number of arson offenses increased 3.2 percent in the first six months of 2012 when compared with figures from the first six months of 2011. Three of the four regions reported increases in the number of arsons—11.0 percent in the Midwest; 6.4 percent in the West; and 5.7 percent in the Northeast. There was a 5.6 decrease in arson offenses in the South.
Arson offenses increased 19.1 percent in cities with populations of 25,000 to 49,999, the largest increase within the city groupings. Arson offenses decreased 6.0 percent in metropolitan counties and 4.3 percent in non-metropolitan counties.
Caution against ranking: When the FBI publishes crime data via its UCR program, some entities use the information to compile rankings of cities and counties. However, according to the FBI, such rankings do not provide insight into the numerous variables that shape crime in a given town, city, county, state, tribal area, or region. "These rankings lead to simplistic and/or incomplete analyses that can create misleading perceptions that adversely affect communities and their residents. Only through careful study and analyses into the range of unique conditions affecting each local law enforcement jurisdiction can data users create valid assessments of crime," bureau sources stated. "The data user is, therefore, cautioned against comparing statistical data of individual reporting units from cities, metropolitan areas, states, or colleges or universities solely on the basis of their population or student enrollment."
Violent Crime: Two of the four offenses in the violent crime category—murder and non-negligent manslaughter and forcible rape—show decreases when data from the first six months of 2012 are compared with data from the first six months of 2011. The number of murders declined 1.7 percent, and the number of rapes decreased 1.4 percent. However, robbery offenses increased 2.0 percent, and aggravated assault increased 2.3 percent.
Law enforcement agencies in all but one of the six city population groups reported increases in violent crime. Cities with populations of 250,000 to 499,999 showed an increase of 4.7 percent, the largest increase among the city population groups. Cities with less than 10,000 inhabitants experienced the only decline (0.7 percent) in violent crime offenses.
Violent crime increased 0.7 percent in metropolitan counties and 0.6 percent in non-metropolitan counties.
Violent crime increased in each of the nation’s four regions. The largest increase, 3.1 percent, was in the West, followed by 2.5 percent in the Midwest, 1.1 percent in the South, and 1.1 percent in the Northeast.
Property Crime: All three categories of property crime—burglary, larceny-theft, and motor vehicle theft—showed increases in the number of offenses from January to June 2012 when compared with data for the same months of 2011. Larceny-theft offenses increased 1.9 percent. There was a 1.7 percent increase in the number of motor vehicle thefts and a 0.1 percent increase in burglary offenses.
Each of the six city population groups had increases in the number of property crimes. Law enforcement agencies in cities with populations of 10,000 to 24,999 inhabitants reported the largest increase, 2.9 percent. Property crime in non-metropolitan counties decreased 0.4 percent; property crime in metropolitan counties remained virtually unchanged.
Three of the four regions reported increases in the number of property crime: 4.7 percent in the West, 4.0 percent in the Northeast, and 1.3 percent in the Midwest. Property crime declined 1.4 percent in the South.
Arson: In the Uniform Crime Reporting (UCR) program, arson offenses are collected separately from other property crimes. The number of arson offenses increased 3.2 percent in the first six months of 2012 when compared with figures from the first six months of 2011. Three of the four regions reported increases in the number of arsons—11.0 percent in the Midwest; 6.4 percent in the West; and 5.7 percent in the Northeast. There was a 5.6 decrease in arson offenses in the South.
Arson offenses increased 19.1 percent in cities with populations of 25,000 to 49,999, the largest increase within the city groupings. Arson offenses decreased 6.0 percent in metropolitan counties and 4.3 percent in non-metropolitan counties.
Caution against ranking: When the FBI publishes crime data via its UCR program, some entities use the information to compile rankings of cities and counties. However, according to the FBI, such rankings do not provide insight into the numerous variables that shape crime in a given town, city, county, state, tribal area, or region. "These rankings lead to simplistic and/or incomplete analyses that can create misleading perceptions that adversely affect communities and their residents. Only through careful study and analyses into the range of unique conditions affecting each local law enforcement jurisdiction can data users create valid assessments of crime," bureau sources stated. "The data user is, therefore, cautioned against comparing statistical data of individual reporting units from cities, metropolitan areas, states, or colleges or universities solely on the basis of their population or student enrollment."
Millions Returned To Victims in Corruption Scheme
ROCHESTER, NY - 1/22/2012 - U.S. Attorney William J. Hochul, Jr. announced on January 18 that more than $10 million in forfeited property has been returned to the victims of one of the largest public corruption cases ever prosecuted in the Western District of New York. Those receiving restitution include the Eastman Kodak Company, the Town of Greece, IBM, ITT Industries, Inc., RG&E, and Global Crossing. The companies and town were all victims of real property tax appraisal and assessment schemes spearheaded by John Nicolo, a property appraiser.
In 2005, John Nicolo, Mark Camarata, Charles Schwab, David Finnman, and others were arrested and later convicted of a variety of crimes including mail and wire fraud, conspiracy, and money laundering. The defendants schemed victims out of millions of dollars by artificially inflating tax assessments on properties they owned, and then causing John Nicolo to be hired by the companies in an effort to reduce the resulting tax assessments.
Assistant U.S. Attorney Richard A. Resnick, who prosecuted the case, stated that David Finnman and Mark Camarata, while working at Kodak, hired Nicolo to perform real property appraisal services for Kodak between 1997 and 2005. In return for hiring Nicolo, Finnman, and Camarata would receive money representing kickbacks from Nicolo. In addition, Charles Schwab, while the Greece Town Assessor, also received kickbacks from Nicolo in connection with various property tax assessment matters involving property located in Greece.
The forfeiture aspect of the case resulted in considerable litigation over the several years following the criminal convictions. In February 2009, U.S. District Judge David G. Larimer ultimately agreed with the Government’s position and ordered over $12,000,000 in assets to be forfeited from the various defendants. The ruling spurred further litigation involving John Nicolo’s wife, Constance Roeder, who claimed that much of the money was hers and had nothing to do with Nicolo’s crimes. In November 2011, Judge Larimer approved a settlement which awarded the government more than $10 million and returned $2 million to Constance Roeder, which was determined not to have been involved in her husband’s appraisal fund.
Of the $10,000,000 settlement, the Eastman Kodak Co. received $7,800,000 and the Town of Greece received $1,900,000. In addition, IBM received $70,000, RG&E $13,000, ITT Space Systems, LLC $633,000, and Global Crossing $33,750.
The majority of the properties forfeited involved large financial accounts where John Nicolo concealed his illegal proceeds. Some of the accounts were valued in excess of several million dollars. Nicolo also forfeited BMW and Volvo automobiles and a Bentley, valued at $165,000, which was purchased with illegal cash just months prior to its seizure in 2005. In addition, Mark Camarata forfeited almost $1,000,000 and the government seized high-end vehicles and two residences from Charles Schwab, one of which was a home in an exclusive South Carolina golf community.
Furthermore, a vacation home and a number of parcels overlooking Keuka Lake, worth approximately $500,000, are still to be sold. That money will be forfeited to the government and used to assist law enforcement in further criminal investigations in our community.
Following the criminal prosecution, John Nicolo and Charles Schwab were sentenced to 12 years in federal prison, Mark Camarata was sentenced to 24 months, and David Finnman received 21 months.
“This case sends a strong message that public corruption and corporate fraud will not be tolerated,” said U.S. Attorney Hochul. “Those who attempt to make financial gains by victimizing others not only risk destroying their families but also losing their freedom. As this case demonstrates, our office is also fully prepared to utilize the federal forfeiture laws to take the ‘profit’ out of such crimes by stripping defendants of their illicit proceeds and returning them to innocent victims where they belong.”
The successful prosecution and restitution are the result an investigation by special agents of the Federal Bureau of Investigation, under the direction of Special Agent in Charge Christopher M. Piehota; the Internal Revenue Service, under the direction Special Agent in Charge Charles R. Pine; the Postal Inspection Service, under the direction of Inspector in Charge Robert Bethel; and the Greece Police Department, under the direction of Chief Todd K. Baxter.
Source: Release, U.S. Attorney's Office, Western District of New York (FBI, Buffalo Division).
In 2005, John Nicolo, Mark Camarata, Charles Schwab, David Finnman, and others were arrested and later convicted of a variety of crimes including mail and wire fraud, conspiracy, and money laundering. The defendants schemed victims out of millions of dollars by artificially inflating tax assessments on properties they owned, and then causing John Nicolo to be hired by the companies in an effort to reduce the resulting tax assessments.
Assistant U.S. Attorney Richard A. Resnick, who prosecuted the case, stated that David Finnman and Mark Camarata, while working at Kodak, hired Nicolo to perform real property appraisal services for Kodak between 1997 and 2005. In return for hiring Nicolo, Finnman, and Camarata would receive money representing kickbacks from Nicolo. In addition, Charles Schwab, while the Greece Town Assessor, also received kickbacks from Nicolo in connection with various property tax assessment matters involving property located in Greece.
The forfeiture aspect of the case resulted in considerable litigation over the several years following the criminal convictions. In February 2009, U.S. District Judge David G. Larimer ultimately agreed with the Government’s position and ordered over $12,000,000 in assets to be forfeited from the various defendants. The ruling spurred further litigation involving John Nicolo’s wife, Constance Roeder, who claimed that much of the money was hers and had nothing to do with Nicolo’s crimes. In November 2011, Judge Larimer approved a settlement which awarded the government more than $10 million and returned $2 million to Constance Roeder, which was determined not to have been involved in her husband’s appraisal fund.
Of the $10,000,000 settlement, the Eastman Kodak Co. received $7,800,000 and the Town of Greece received $1,900,000. In addition, IBM received $70,000, RG&E $13,000, ITT Space Systems, LLC $633,000, and Global Crossing $33,750.
The majority of the properties forfeited involved large financial accounts where John Nicolo concealed his illegal proceeds. Some of the accounts were valued in excess of several million dollars. Nicolo also forfeited BMW and Volvo automobiles and a Bentley, valued at $165,000, which was purchased with illegal cash just months prior to its seizure in 2005. In addition, Mark Camarata forfeited almost $1,000,000 and the government seized high-end vehicles and two residences from Charles Schwab, one of which was a home in an exclusive South Carolina golf community.
Furthermore, a vacation home and a number of parcels overlooking Keuka Lake, worth approximately $500,000, are still to be sold. That money will be forfeited to the government and used to assist law enforcement in further criminal investigations in our community.
Following the criminal prosecution, John Nicolo and Charles Schwab were sentenced to 12 years in federal prison, Mark Camarata was sentenced to 24 months, and David Finnman received 21 months.
“This case sends a strong message that public corruption and corporate fraud will not be tolerated,” said U.S. Attorney Hochul. “Those who attempt to make financial gains by victimizing others not only risk destroying their families but also losing their freedom. As this case demonstrates, our office is also fully prepared to utilize the federal forfeiture laws to take the ‘profit’ out of such crimes by stripping defendants of their illicit proceeds and returning them to innocent victims where they belong.”
The successful prosecution and restitution are the result an investigation by special agents of the Federal Bureau of Investigation, under the direction of Special Agent in Charge Christopher M. Piehota; the Internal Revenue Service, under the direction Special Agent in Charge Charles R. Pine; the Postal Inspection Service, under the direction of Inspector in Charge Robert Bethel; and the Greece Police Department, under the direction of Chief Todd K. Baxter.
Source: Release, U.S. Attorney's Office, Western District of New York (FBI, Buffalo Division).
Subjects
corruption,
property,
scheme
