A federal grand jury in Pittsburg has indicted a man in relation to allegations of allegedly improper real estate dealings. The accused had already been indicted in March for allegedly filing false tax returns. The recent indictment was specifically related to accusations of wire fraud.
The investigation into the man’s actions began as early as 2007. Authorities are examining his role in a series of real estate transactions. The investigation by the FBI and the Criminal Investigation Division of the IRS also targeted the man’s former business partner who is a retired judge. The former judge has not yet been indicted.
According to the indictment the suspect employed various misrepresentations to defraud a number of Pittsburg investors. He allegedly convinced the investors to buy real estate in South Florida and to lend him assets for additional real estate purchases. The suspect allegedly utilized falsely notarized deed and other fraudulent documents in order to further his scheme to defraud the investors.
The suspect is a former county probation officer. There is still a dispute into the exact roles played in the alleged fraud by the former probation officer. A civil suit against the former probation officer was recently dismissed because the investor who brought that case had dealt with the retired judge rather than the former probation officer. A civil suit brought against the former probation officer by the retired judge is still pending.
The U.S. attorney’s office involved in the case says that, if convicted the probation officer may face up to 152 years of incarceration and a fine of $2.75 million.
Source: Pittsburg Post-Gazette “Former county probation officer faces fraud, tax charges in South Florida property deals” Madeline Buckley, Aug. 19, 2011