Strategic Federal And State Criminal Defense

Former Innkeeper facing allegations of fraud

On Behalf of | Jan 10, 2014 | White Collar Crimes |

Being accused of a crime related to the work environment is often serious and could damage their personal and professional reputation. This involves a broad range of criminal activities from embezzlement and wire fraud to ponzi schemes and more. While the term white collar crime is broad, what these crimes tend to have in a common is that they involve crimes of deceit motivated by financial award. While federal authorities take all federal crimes seriously, in recent years there has been an increased focus on white collar crimes.

A federal grand jury recently indicted a former California Innkeeper for allegedly attempting to defraud the State Bank of India California. The federal indictment states that the former owner of the Brookdale Lodge in Santa Cruz submitted false statements to an intermediary for the bank in order to induce the bank to pay more than $500,000. The indictment does not clarify how the alleged scheme was discovered.

In addition to the former Innkeeper’s legal troubles, his wife is also facing federal charges. The man’s wife has been accused of making false statements to a bank. According to federal authorities, the Innkeeper’s wife produced false tax returns for the purpose of refinancing a $4.5 million purchase loan and to obtain a secure $1.5 million construction loan to upgrade their facility. Both husband and wife have pled not guilty.

Due to the broad range of criminal activities that fall within the scope ofa white collar crime, the penalties can vary dramatically. In many cases, the penalties for such crimes depend on the amount of money involved, prior criminal history and other factors such as the manner of deceit. In most cases, however, penalties for white collar crimes can include prison terms, fines, probation and restitution.

Those accused of a crime should seek to devise a defense against the charges because any defendant is entitled to a strong defense. This often means further investigation to uncover evidence and speak with witnesses. Those seeking to defend a white collar crime should understand the process in order to protect their rights and options available to them.

Source: Santa Cruz Sentinel, “Federal grand jury indicts former Brookdale Lodge owner,” Jason Hoppin, Dec. 31, 2013

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