Tag: wire fraud

Miami Man Loses $6 Million Home, Freedom in $115 Million Scam Involving Baby Formula

By David J. Neal From Miami Herald A 7,700-square-foot, four-bedroom, four-bathroom house and three units of an Aventura office building are the list of losses for a Golden Beach man after a massive commercial fraud that involved infant formula, eye-care products, and other products regulated by the FDA. Johnny Grobman, 48, won’t need the home…


Former Public Works Director in SF Pleads Guilty to Wire Fraud

A former San Francisco official pleaded guilty on Jan. 6 to a string of bribes and corruption during his years in office. His case is part of a larger investigation into the city’s corruption. Former San Francisco Public Works Director Mohammed Nuru officially pleaded guilty in federal court to honest services wire fraud. The 59-year…


China-Based Gree Electric Fined $91 Million for Failure to Report Dangerous Dehumidifiers

China-based Gree Electric and two of its subsidiaries, including one in the U.S., have agreed to pay $91 million to resolve criminal charges for not reporting to the Consumer Product Safety Commission (CPSC) that their faulty dehumidifiers could catch on fire. According to a court filing, Gree executives knew the defective dehumidifiers failed to meet…


Head of NYPD Sergeant Union Resigns After FBI Raids Office, Home

Ed Mullins, the head of the NYPD’s Sergeants Benevolent Association, has resigned from his role just hours after FBI agents raided his home and the group’s Manhattan headquarters. Dozens of federal agents were seen carrying boxes out of the union’s Manhattan headquarters and loading them into a van on Tuesday morning as part of a “law enforcement…


Trial of Theranos Founder Elizabeth Holmes Set to Begin After Multiple Delays

Prosecutors and defense lawyers are scheduled to deliver their opening statements on Sept. 8 in the trial of Elizabeth Holmes, the founder of medical sciences company, Theranos Inc. Holmes, who founded Theranos in 2003 at the age of 19, is facing counts of wire fraud and conspiracy to commit wire fraud relating to her blood-testing startup that was once…


Michael Avenatti Gets Mistrial in California Embezzlement Case

WASHINGTON—A federal judge on Tuesday declared a mistrial in the government’s embezzlement case against Michael Avenatti, giving the already convicted celebrity lawyer a temporary reprieve as he defends against a slew of criminal charges. U.S. District Judge James Selna in Santa Ana, California, said Avenatti was entitled to a new trial because prosecutors had failed…


Chinese Espionage Retrial Sought for Tennessee Researcher

KNOXVILLE, Tenn.—Federal prosecutors are seeking to retry a former University of Tennessee researcher accused of hiding his relationship with a Chinese university while receiving research grants from the federal government. Assistant U.S. Attorney Casey Arrowood filed a one-page notice in U.S. District Court in the case against Anming Hu, the Knoxville News Sentinel reported on…


Former Massachusetts Mayor Convicted of Fraud, Extortion

BOSTON—A former Massachusetts mayor first elected at the age of 23 was convicted on Friday of defrauding investors in a smartphone app company and extorting money from local marijuana businesses. Jurors found former Fall River Mayor Jasiel Correia guilty on most counts he faced including wire fraud, filing false tax returns, and extortion, in what…


Florida Man Sentenced in Giuliani-Related Fraud Case

NEW YORK—A Florida businessman whose fraud-busting business was exposed as a fraud itself was sentenced Monday to a year and a day in prison in a case in which prosecutors said Rudy Giuliani was hired as a consultant to attract investors. David Correia, 45, was sentenced remotely by U.S. District Judge J. Paul Oetken in…