Update: New Mexico Man Avoids Criminal Trial After Alleged $140K Embezzlement & Arson

Martin Glen Pyke, 44, of Socorro, New Mexico, reached an agreement with authorities to enter into a Pre-Prosecution Diversion program after he was accused of embezzling nearly $140,000 from the Fraternal Order of Eagles Club of Socorro where he had been served as gaming manager. Pyke allegedly set fire to the building in an attempt to cover up the thefts. Pyke allegedly misappropriated from the club from June 2005 until March 3, 2006, when he reportedly attempted to burn it down. As part of the agreement, Pyke must pay $137,828.55 in restitution and must maintain undisclosed terms of a probation. He was originally charged in February 2009 with eight felony embezzlement counts, one second-degree count of arson, two third-degree felony tampering with evidence charges and eight fourth-degree felony reporting and record violations related to gaming machines at the club. Pyke reportedly has a history of financial problems and a gambling habit.

Read FraudTalk's earlier post on this story here.

Read the story here and here.

Ohio Couple Charged With Embezzling $1.3 Million

Scott C. Adair, 50, and Linda A. Adair, 52, of Canfield, Ohio, have been charged with embezzling at least $1.3 million from Southwind Trucking Company in Austintown, where Scott Adair was a co-owner. According to the criminal complaint, Scott Adair masterminded the misappropriation from March 2004 through October 2007. Investigators believe the scheme actually dates back to 2000 and perhaps earlier. He has been charged with 11 counts of aggravated grand theft, money laundering, telecommunication fraud, tampering with records and engaging in a pattern of corrupt activity. Linda Adair was charged with four counts of complicity to grand theft, complicity to money laundering and complicity to engage in a pattern of corrupt activity. The complaint seeks the forfeiture of the couple's home, contents, bank accounts, investment accounts and other property. Scott Adair's business partner in Southwind Trucking is Ric Barringer, who filed a civil suit against the Adair's last April. The company closed down in October 2007 and had to lay off 30 employees as a result, according to reports.

Read the story here, here and here.

New Mexico Man Accused Of Embezzling From Club & Setting Fire To Evidence

Martin Glen Pyke, 42, of Socorro, New Mexico, and the former gaming manager at the Fraternal Order of Eagles club also in Socorro, has been charged with 19 criminal counts ranging from arson to embezzlement, including the alleged theft of more than $140,000 from the club. Specifically, Pyke was charged with eight felony embezzlement counts, one second-degree count of arson, two third-degree felony tampering with evidence charges and eight fourth-degree felony reporting and record violations related to gaming machines at the club. According to prosecutors, Pyke attempted to burn evidence of his 8 months of embezzlement by setting a fire at the club in March 2006.

Read the story here, here and here.

Hartford Mayor Arrested For Bribery

Eddie A. Perez, the Mayor of Hartford, Connecticut, was arrested today on bribery and fabricating evidence charges. The arrest follows nearly a two year investigation into public corruption. Perez allegedly had renovations done at his home by contractor Carlos Costa, who in turn, has reportedly done millions of dollars in contracting work for the city. Further, according to the arrest warrant, there have been “numerous instances where Mayor Perez [in his official capacities as mayor] apparently intervened in matters to benefit Carlos Costa or Carlos Costa obtained assistance from Mayor Perez to benefit himself (Costa).”

Read the story here, here and here.

Read the Connecticut Criminal Justice press release here.

Read the arrest warrant here.

Former Maryland School Superintendent Sentenced In Contract Funneling Scheme

Andre J. Hornsby, 55, the former superintendent of Maryland's Prince Georges County school system, was sentenced to 6 years in prison for fraud and kickbacks in a contract funneling scheme. He was also ordered to pay $90,000 in fines and restitution. Hornsby was originally indicted in August 2006 on 16 counts of mail fraud, wire fraud, witness and evidence tampering and obstruction of justice for allegedly steered educational software contracts to front companies controlled by an associate, Cynthia Joffrion, and his then-girlfriend, Sienna Owens. Six more fraud counts were added to the charges. In exchange for the contracts, Hornsby was to receive personal goods valued at at least $100,000, including a boat a truck and artwork, according to prosecutors. He was convicted on six of the 22 counts on July 23, 2008 after a jury had deliberated for about a week. Hornsby, formerly the Yonkers, New York school superintendent, was hired in 2003 by Prince Georges County.

View the video of Hornsby accepting a $1,000 kickback from Joffrion in a Bowie, Maryland hotel and agreeing to $100,000 in gifts.

Read the story here, here , here and here.