Saturday, January 17, 2009
Former Ohio Couple Indicted In Kickback Scheme At Railroad
Ronald L. Zullig, 54, and his wife, Jean A. Zullig, 52, currently of Bolivar, Missouri, were indicted recently on conspiracy and fraud charges related to a kickback scheme in which the two are alleged to have engaged involving the Ohio Central Railroad where Ronald Zullig was employed. According to prosecutors, the conspiracy transpired between October 2000 and July 2006. Zullig was employed as a repair manager for the railroad and allegedly collected kickbacks from various vendors including directed a railroad contractor to bill the railroad for work performed at the Zullig's home. Ronald Zullig tried to conceal the scheme by having the contractors write checks to Jean Zullig. They have also been charged with interstate transportation and sale of stolen goods for allegedly selling stolen railroad property, as well as mail fraud, generating false billing invoices and lying to investigators. According to prosecutors, the Zullig's fraudulently received some $140,000 in kickback proceeds. They each face up to 25 years in prison, plus $750,000 in fines.
Read the DOJ's announcement of the indictments here.
Update (4/23/10): Ronald L. Zullig, now 55, was sentenced to 2 years in prison for his role in a kickback scheme involving Ohio Central Railroad. He was also ordered to pay $185,000 in restitution. He and his wife, Jean A. Zullig both plead guilty last July 1st to one count of conspiracy to commit mail fraud, two counts of mail fraud, and one count of interstate transportation and sale of stolen property which occurred between June 2000 and July 2006. Jean Zullig was sentenced on December 17, 2009 to three years' probation and ordered to pay $53,000 in restitution.