In a big money white collar crime case, an executive based in Fort Lauderdale pled guilty in the Mutual Benefits Corp. fraud trial.
Prior to being charged in the case, the executive had been living the high life at the expense of those he had defrauded. He lived in a posh waterfront mansion that had been built in the Mediterranean style popular amongst the rich and famous. With access to a huge amount of illicitly-gained funds, he was able to have the best of everything with his every whim catered to.
All of that came crashing down when his illegal activities were discovered. His insurance brokerage, called Mutual Benefits Corp, was shut down by federal regulators.
In a recent appearance in a Miami federal courtroom, the man seemed pale and listless, stripped of his ill-gotten gains and held in custody. He has already been sentenced to a prison term of 15 years after being convicted of money laundering. If convicted of fraud in the current case as well, he could face 20 years.
He is accused of two distinct instances of wire fraud conspiracy. According to the accusations, he willfully duped investors who purchased life insurance in one case, and did the same to health insurance companies in a different case.
The first case, centered on the man’s Mutual Benefits brokerage, involves a stunning five million documents. It may also include hundreds of witnesses, illustrating the number of people that were affected by the defendant’s actions.
Those actions included selling life insurance policies that totaled $1.25 billion to approximately 30,000 investors. The policies had been written for people dying of AIDS. Between 1994 and 2003, those investors lost $830 million. This makes it one of the most significant financial frauds in Florida history.
White collar crime legal cases like this affect people throughout Florida. Concerned citizens want those who commit such fraud brought to justice, with the interests of law-abiding citizens protected for the future.
Source: Miami Herald, “Fort Lauderdale executive pleads guilty before upcoming Mutual Benefits fraud trial” Jay Weaver, Sep. 04, 2013