A Los Angeles man will spend 6 years in federal prison for embezzlement following a guilty plea. The sentence represents the first of several expected in a scheme involving a Houston construction project.
According to federal prosecutors, the nine co-conspirators submitted fake invoices to the Beck Group for a building renovation project. One of the participants, a Houston man, served as the construction manager for the project in 2016 and 2017. He approved the phony invoices from the shell companies, which the general contractor then paid.
The Los Angeles man created shell companies to submit invoices for products and services. Following payment, the men shifted payment proceeds to themselves and the other conspirators. In addition, they received kickbacks from the other conspirators. The conspirators provided nothing of value to the project. All of the co-conspirators have pleaded guilty to the scheme.
According to prosecutors, the conspirators submitted phony invoices totaling $3.4M for non-existent work on a luxury hotel redevelopment project. The general contractor completed the hotel rehabilitation project, using federal funds from a controversial immigration program, in 2017. Prior to the redevelopment project, the building in downtown Houston, had been abandoned.
The remaining co-conspirators will return to court in the following weeks for sentencing. They could face as much as 20 years in prison and maximum fines of $6.8M.
Los Angeles Embezzlement Attorney
When you face federal or state charges related to theft from an employer, hire an experienced embezzlement attorney like Robert Helfend. Mr. Helfend has nearly 35 years of experience in criminal defense. He takes federal cases in any US District Court. He also takes state cases in Los Angeles and throughout Southern California.
Embezzlement is primarily a financial crime of opportunity. When the alleged theft involves federal funds, the prosecution can be brutal. That’s why you need the assistance of an experienced criminal defense attorney in court.
While federal laws do have significant penalties, an experienced criminal defense attorney can sometimes get the charges against you reduced or dropped. When that isn’t possible, the experienced attorney will work toward the best possible outcome for the client. Positive outcomes could include reduced sentences and/or reduced fines.
Don’t settle for an inexperienced attorney! Contact Robert Helfend or call toll-free at (800) 834-6434, (310) 456-3317, (818) 591-2809 or (805) 273-5611 for an immediate consultation on your Los Angeles County embezzlement case.
Photo Credit: Marriott