Executive Charged in Multi-Million-Dollar Fraud Case March 2, 2010Posted by jefhenninger in News.
Tags: bank fraud, wire fraud
Michael G. Spada was charged yesterday by information with wire fraud, bank fraud, filing a false tax return, and making a false statement to the federal government in a fraud case involving more than $6 million.
Spada is accused of embezzling more than $6 million from his former employer and hiding that embezzlement from both a bank, that extended him a $3.2 million line of credit, and from the Internal Revenue Service. According to the information, Spada is a former controller and chief financial officer of Scannapieco Development Corporation and related companies. The information alleges that Spada embezzled the funds by diverting company checks to his own account and taking more than $400,000 in unauthorized salary between 2000 and 2009.
Spada failed to report most of the embezzled money on his tax returns and lied to IRS agents about his embezzlement during a meeting on June 22, 2009. This sounds like a classic case of a person buying their own B.S. As a result, it seems like he lied to his attorney, himself and the IRS which only dug the whole that much deeper.