New York – Top executives of Allou Healthcare Inc. – brothers Aaron, Jacob and Herman Jacobowitz – pleaded guilty to charges related to what prosecutors called “a staggering, decade-long bank fraud and securities fraud scheme,” involving hundreds of millions of dollars of phony sales and inflated inventory that ultimately drove the company into bankruptcy.
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The officials also admitted to a mail fraud and insurance fraud scheme arising from a fire at Allou’s Brooklyn warehouse that included the attempted bribery of an undercover fire marshal, whom they wanted to change the cause of the fire from “arson” to “accidental,” said U.S. Attorney Roslynn Mauskopf.
Their guilty pleas in federal court in Brooklyn came more than three years after their long-running scheme to inflate sales and profits began to unravel.
Under plea agreements announced in Brooklyn federal court, they face up to 10-15 years in prison and a maximum fine of up to twice the amount of the loss from the fraud.
Correct it was a mistake from my side it’s in the hand of a judge.
but it doesn’t change my point since the judge can decide to give the minimum or maximum.
lets hope he decides on the minimum.
just a minor correction, they pleaded guilty because they got a deal which means there is no trial and no jury, its all up to the judge
It has to be remembered that a sentence is the maximum and with hashems help can be reduced by a jury, plus for good behavior can be reduced even more by parole
p.s. not to be understood as minimizing the terrible tragedy of even one day of jail let alone years I just wrote in order for people to understand why they pleaded guilty