New York Paralegal Blog

The United States has seized $150 million in connection with a civil money laundering and forfeiture complaint filed in December 2011 alleging a massive, international scheme in which entities linked to Hizballah, including the now-defunct Lebanese Canadian Bank (LCB), used the U.S. financial system to launder narcotics trafficking and other criminal proceeds through West Africa and back into Lebanon, announced Preet Bharara, U.S. Attorney for the Southern District of New York, and Michele M. Leonhart, the Administrator of the U.S. Drug Enforcement Administration (DEA).

Members of Conspiracy Stole from at least 30 Bank Accounts Manhattan District Attorney Cyrus R. Vance, Jr., today announced the indictment of 37 individuals in connection with a forged check and money laundering ring based in Brooklyn that compromised at least 30 bank accounts at JP Morgan Chase Bank (“Chase Bank”) and Citibank, and stole more than $150,000. All of the defendants are charged with Conspiracy, and the ringleaders are additionally charged with Grand Larceny, Money Laundering, and in some cases, Criminal Possession of a Forged Instrument and Identity Theft.[1]

Manhattan District Attorney Cyrus R. Vance, Jr., today announced the indictment of JUDY DEL GALDO, 66, and her son JOSEPH DEL GALDO, 46, for stealing more than $16 million from the textile business where JUDY DEL GALDO had worked for more than two decades. The mother-son duo are accused of laundering the stolen money through a shell company, and then spending much of it on luxury items. They are also charged with diverting millions to JOSEPH DEL GALDO’S failing, now-defunct ambulance company. The pair was indicted on charges including Grand Larceny in the First Degree, Money Laundering in the First Degree, Grand Larceny in the Second Degree, and Forgery in the Second Degree. “The defendants presented themselves as successful, high-rolling entrepreneurs, but the appearance of wealth and success was just a charade, forged on the backs of the owners and employees of the textile business that they are charged with victimizing,” said District Attorney Vance. According to documents fi...

PREET BHARARA, the United States Attorney for the Southern District of New York, announced that REZA SAFARHA was sentenced today in Manhattan federal court to 10 months in prison for violating the Iran Trade Embargo, money laundering, conspiracy, and theft of government money. SAFARHA was found guilty in February 2011 by U.S. District Judge RICHARD J. SULLIVAN, who found, among other things, that SAFARHA illegally transmitted approximately $300,000 through the “hawala” system to Iran and that SAFARHA believed the money was proceeds from criminal conduct. Manhattan U.S. Attorney PREET BHARARA stated: “This office takes violations of the United States’ trade embargo with Iran very seriously. Reza Safarha employed a form of financial legerdemain to circumvent the embargo, and added insult to injury by doing this to conceal what he believed were the proceeds from the sale of stolen property.” According to the indictment, the evidence at trial, and Judge SULLIVAN’s public findings: Th...

PHILADELPHIA—Roosevelt Hairston Jr. was charged in a three-count information1 with mail fraud, money laundering, and filing a false tax return for his embezzlement of $1.7 million from the Children’s Hospital of Philadelphia, United States Attorney Zane David Memeger announced. Hairston was employed in various senior positions at CHOP, including most recently as general counsel and executive vice president. The information alleges that, between 1999 and February 14, 2011, Hairston used dozens of false invoices he created for shell companies to steal from CHOP. Hairston was able to steal for so long because he occupied a position of trust at the hospital and because he engaged in extensive efforts to conceal and prolong the scheme. For example, when CHOP accounting personnel questioned some of the bogus invoices Hairston submitted, Hairston stole the identity of a long-time friend and created bogus e-mail addresses in the name of his friend. Hairston then sent e-mail messages to CHOP pe...

Manhattan District Attorney Cyrus R. Vance, Jr., today announced the indictment of STEVEN BINGAMAN, 54, and his corporate entities he controlled for stealing approximately $1.2 million from at least nine victims in a securities fraud and Ponzi scheme. BINGAMAN and his entities were previously indicted in January 2011 for stealing money from two victims for similar criminal conduct. The indictments charge BINGAMAN and his corporate entities with Grand Larceny, Money Laundering, Forgery in the Second Degree, Criminal Possession of a Forged Instrument, Falsifying Business Records, Scheme to Defraud, and Securities Fraud.[1] “The defendant’s victims relied on him to conduct his business affairs with honesty and integrity, but he instead squandered their money to pay for his multiple homes, a Las Vegas bookie, and other personal expenses,” District Attorney Vance said. “This office will continue to root out and prosecute self-serving swindlers who steal from investors and create mistrust ...

PREET BHARARA, the United States Attorney for the Southern District of New York, and JANICE FEDARCYK, the Assistant Director in Charge of the New York Field Office of the Federal Bureau of Investigation (“FBI”), announced the unsealing of an indictment on 4/15/2011, charging 11 defendants, including the founders of the three largest Internet poker companies doing business in the United States—PokerStars, Full Tilt Poker, and Absolute Poker (the “Poker Companies”)—with bank fraud, money laundering, and illegal gambling offenses. The United States also filed a civil money laundering and in rem forfeiture complaint (the “Civil Complaint") against the Poker Companies, their assets, and the assets of several payment processors for the Poker Companies. In addition, restraining orders were issued against more than 75 bank accounts utilized by the Poker Companies and their payment processors, and five Internet domain names used by the Poker Com...

Wifredo A. Ferrer, United States Attorney for the Southern District of Florida; Anthony V. Mangione, Special Agent in Charge, U.S. Immigration and Customs Enforcement (ICE), Office of Investigations; Daniel W. Auer, Special Agent in Charge, Internal Revenue Service, Criminal Investigation Division (IRS-CID); John V. Gillies, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office; and Ric L. Bradshaw, Sheriff, Palm Beach County Sheriff’s Office (PBSO), today announced that defendant Mal Suk Kim, 60, of Palm Beach County, pled guilty today to a criminal information, charging her with one count of harboring illegal aliens and one count of money laundering, in violation of Title 8, United States Code, Sections 1324(a)(1)(A)(iii), 1324(a)(1)( B)(I), and Title 18, United States Code, Section 1956(a)(1)(A)(I), respectively. Defendant Kim also agreed to forfeit $150,000 involved in the money laundering offense to which she pled guilty. According to court documents...