A complaint filed in the Southern District of New York alleges that the president of a police union committed wire fraud. The union represents law enforcement personnel for various agencies in New York City. This allegation comes after he was accused of defrauding the annuity fund belonging to the union.
The president was allegedly involved in a multi-year scheme to commit fraud. He reportedly withdrew funds from various individual retirement accounts under fraudulent pretenses by making false statements to the custodian of the Annuity Fund. The union president is accused of signing misleading instruction forms, which made false representations that the withdrawals were to cover administrative expenses.
Over $450,000 was withdrawn from various accounts between 2014 and 2019, mainly by the president and treasurer of the fund. The funds were reportedly used by the president to help pay for a luxury car, an apartment in Queens and a weekend football vacation for himself and around five of the union’s employees.
To cover up the transactions, the union’s president allegedly misled accountants and also failed to comply with annual reporting and filing requirements. Furthermore, he supposedly made misleading statements to union members regarding the handling of the annuity fund, stating that the funds were being used transparently and appropriately.
The treasurer of the union has been accused of interfering with a federal financial fraud investigation of embezzlement and financial fraud by employees, directors, trustees and officials according to a separate complaint. The defendants in this embezzlement and fraud case could be facing stiff penalties, including time in prison and heavy fines, if they are convicted of the allegations listed in the complaints against them. An individual who is facing fraud and embezzlement charges may seek advice from an attorney with a background in white-collar crimes. The attorney may be able to examine the case and discuss defense options and potential outcomes.