July 23, 2014

Chino Hills Man Arrested for Vehicular Manslaughter in Pomona

Rick Krujin Lee, 25, of Chino Hills was arrested after striking a bicyclist in Pomona. Police arrested Lee for vehicular manslaughter and DUI causing death and he is currently being held on $100,000 bail.

According to law enforcement, Lee was traveling down Garey Avenue in a white 335i BMW at about 2:30 a.m. when the car struck the bicyclists. The victim is described as a man in his 40's or 50's and was hit from behind by Lee. Further, upon police questioning, Lee admitted to drinking alcohol prior to getting behind the wheel of the car.

It appears this may be the first driving under the influence charge for Lee, because in California, a person can be charged with 2nd Degree Murder if after being convicted of a prior DUI they commit a second driving under the influence of alcohol and kill someone.
It must also be pointed out that there were no indication if Lee was actually over the legal limit when arrested.

July 23, 2014

Laguna Niguel Businessman Pleads Guilty to $4.5 Million Fraud

A Laguna Niguel business man pleaded guilty in federal court to three counts of mail fraud, wire fraud and bank fraud. Donald Keith Goff, 66, admitted in court to the charges that stem from a series of fraud schemes to defraud banks and the U.S. Small Business Administration out of a loan to purchase gas stations.

Goff the scheme began in 2006 to defraud Grand Pacific Financial Corp which funded the $4.5 million gas station purchases in Fountain Valley. Goff and his stepdaughter, Monty Brown used a straw buyer who posed as an owner of the shell company that applied for the loan in the corporation's name. After receiving the loans, Goff then schemed to defraud Nara Bank where he formed another shell corporation to purchase the gas station businesses.

Goff and Brown ran the gas station business and rather than use the proceeds of the business to pay off the loan, they used the money for personal expenses. Along with Goff, Brown was also charged as was Goff's wife Melanie. All have pleaded guilty and Goff is set to be sentenced on November 17, 2014 while Goff and Melanie Goff should be sentenced shortly. The "straw buyer" Greg Sullivan has not pleaded guilty and is set to go to trial in December 2014.

If convicted, Goff faces a maximum of 70 years in federal prison for his white collar crime.

July 22, 2014

Qualcomm Executive Pleads Guilty to Insider Trading and Money Laundering

Jing Wang, 51, former Executive Vice President and President of Global Business Operations for Qualcomm Inc., pleaded guilty today in federal court to insider trading in shares of Qualcomm and Atheros Communication and money laundering. Wang created a shell company to deposit the proceeds of his illegal white collar fraud scheme which was located off shore.

According to authorities, between 2010 and 2011, Wang committed three separate acts of insider trading. In 2010, Wang purchased $277,739 of Qualcomm stock just before an announcement that Qualcomm was to announce a dividend increase and stock repurchase program. In December 2010, Wang purchased Atheros Communication stock after Qualcomms board made a non-public offer to purchase Atheros. In January 2011, Wang directed his broker, Gary Yin to sell the Atheros stock held in the name of an offshore account and used this money to purchase additional Qualcomm stock one day before they announced record earnings. In total, Wang made over $250,000 with all three trades.

The money laundering count arose out of the transfer of funds to an offshore account, Unicorn Global Enterprises in the British Virgin Islands. In addition to Wang others were charged with obstruction for their role in assisting the cover up, including Gary Yin.

July 22, 2014

Coto de Caza Man Guilty of $2.3 Million Medical Fraud Scam

David Rose, 57 of Coto de Caza pleaded guilty in federal court to wire fraud and mail fraud in what authorities are saying was a fraud scheme targeting physicians and dentists. Rose, sought medical professionals to invest in M.D. Venture Partners and Technology Innovation Partners with the promise of making large returns for new medical technology products. Rose raised over $2 Million from is investors and never invested the money in either company or medical technology products.

U.S. Department of Justice attorneys said, instead of investing the money, Rose spent it on college tuition, a boat, rent for his home, luxury vehicles and shares in the Green Bay Packers football team. In all, 77 investors lost $2.3 million from the schemes. If convicted of his white collar fraud, Rose faces up to 40 years in federal prison.

July 21, 2014

Man Arrested for Human Trafficking in Orange County

Ronald Preston Spurlock, 36 of Santa Ana was arrested on one felony count of human trafficking, five felony counts of pandering a victim over 18, two felony counts of sale or transportation of marijuana, five felony counts of pimping, and one felony count of felon in possession of a firearm.

Spurlock was arrested by Newport Beach Police Department and the Orange County Human Trafficking Task Force. If convicted, Spurlock faces up to 28 years in state prison and is currently being held on $1 million bail.

July 20, 2014

Garden Grove Man Charged with $90,000 Loan Modification Fraud

Duy Khac Nguyen, 34 of Garden Grove was charged with allegedly defrauding 42 victims by operating a fraudulent loan modification business. The Orange County District Attorney's Office charged 37 counts of grand theft, 5 counts of theft from an elder and sentencing enhancements for the total loss being over $65,000.

Prosecutors allege that between February and July of 2010, Nguyen operated a company called HAMP Resources and claimed to be affiliated with the federal HAMP (Home Affordable Modification Program) program which was not true. Nguyen, guaranteed a refund of the modification fee if the consumer was deemed ineligible for the program. Nguyen then deposited the money into the business account and never did any loan modifications nor provided for any refunds but rather transferred the money to his personal bank account.

If convicted, Nguyen faces 33 years in state prison.

July 19, 2014

New York Doctor Convicted of Manslaughter After Prescribing Painkillers

A New York doctor was convicted of manslaughter after one of his patients died of an overdose and another killed four people during a pharmacy robbery. Dr. Stan Li was also charged and convicted of recklessly endangering six other patients for prescribing controlled substances to known drug abusers.

Li, 60, is an anesthesiologist and pain medicine specialist faces between 5-15 years in prison for the convictions. In total, Li faced 211 counts against him including selling prescription narcotics and falsifying business records. The jury acquitted him of some of the other charges.

New York officials say this is the first case in the country where a physician has been convicted for the death of a patient by unlawfully prescribing pain killers.

July 19, 2014

Child Molester Gets Life In Prison

Robert H. Claudio, 25 of Anaheim Hills was sentenced to 15 years to life after being convicted of molesting a 13-year-old boy in a bathroom at Tustin Library. Orange County prosecutors say that Claudio had been warned to stay away from the library because he is a registered sex offender, however, he didn't heed their warning.

A jury convicted Claudio of committing lewd or lascivious acts with a minor and kidnapping, making this a one strike sex offense. According to Claudio's attorney, Claudio should not have been convicted of kidnapping because the child went to the bathroom voluntarily for "sexual experimentation." While the victim was not in court, his mother provided a written statement speaking about how her son has tried to hurt himself to erase the pain of being molested.

Claudio's mother expects her son to appeal the criminal conviction.

July 18, 2014

3 Women Charged with Medical Insurance Fraud in Orange County

A federal grand jury indicted three women with what authorities are saying is a $50 million health insurance fraud scheme. Theresa Fisher, 44 of Tustin, Vi Nguyen, 31 of Placentia and Lindsey Hardgraves, 30 of San Pedro are each charged with multiple counts of mail fraud. If convicted, the women face up to 20 years in state prison for each mail fraud count.

Authorities allege, the women worked for or on behalf of an Orange-based surgical center known under several names, Princess Cosmetic Surgery, Empire Surgical or Vista Surgical. Nguyen and Fisher worked as consultants for the center while Hardgraves was a marketer. The women are accused of offering patients free or discounted cosmetic procedures in exchange for undergoing unnecessary medical procedures such as endoscopies, cystoscopies or colonoscopies.

The alleged scheme caused more than $50 million worth of claims to insurance companies. The women have been released on bond and ordered to appear for an arraignment on July 28, 2014

July 17, 2014

Disbarred Attorney Convicted of Embezzlement

Wayne Fong, 51 of Tustin pleaded guilty to stealing over $460,000 from Fidelity National Title Group. Fong, a former NYPD officer was the Associate Counsel and VP for Fidelity since 1999. According to prosecutors, Fong embezzled the money via a vendor, Global Discovers where he asked Global to send their payments to a different account, one in which he controlled.

When the vendor became suspicious about the change in account and email address, they contacted Fidelity and Irvine Police Department. The investigation led to the theft and Fong has since been disbarred. Fong was sentenced to six months in jail and must pay over $300,000 in restitution.

July 16, 2014

Army Specialists Facing Trial for Murder

Steven Matthew LeClaire Jr. 26, is set to start trial today for the murder of his friend and attempted murder of his father in a Cypress hotel. LeClaire Jr. is charged with one count of murder and two counts of attempted murder with sentencing enhancements. If convicted, LeClaire Jr. could spend life in prison.

According to prosecutors, on February 24, 2011, LeClaire Jr. is accused of drinking in the hotel room with this father, Steven LeClaire Sr., Marques Murray 4, and Raymond Eligan, 51. LeClaire Jr. allegedly pulled out a gun and shot each man, killing Murray. After the shooting, LeClaire Jr. who was AWOL from the military walked out of the hotel room and surrendered to a CHP officer.

The trial is currently being held in Orange County Superior Court in department C-30 of the Central Justice Center.

July 15, 2014

Two Orange County Attorneys Arrested for Blackmailing Saudi She

Irvine, California attorneys Emanuel Hudson and Joseph Cavallo were charged in Los Angeles County with attempted extortion, conspiracy to commit extortion, conspiracy to receive a bribe and conspiracy to obstruct justice. In addition to the attorneys, Leyla Ors was also charged with offering to receive a bribe by a witness.

According to law enforcement officials, Leyla Ors filed a criminal complaint in Los Angeles alleging Thamer Albalwi, the son of Sheikh Monsur Albalwi of Saudi Arabia, raped and tortured her. After the LADA's office filed multiple felony counts against Thamer Albalwi for the alleged sexual assault, Hudson and Cavallo are accused of asking Thaamer's father, one of the wealthiest men in the world for $20 million for the case to "go away." Hudson and Cavallo are even accused of requiring the money to be deposited in a Swiss bank account.

After the allegations surfaced, Thamer Albalwi through his attorneys was able to provide enough information to suggest the entire allegation was staged to set up the extortion. Albalwi provided the LADA's office with video, email and text messages to dispute the allegation. The LADA's office has since dismissed the charges against Albalwi and agreed to the factual innocence petition that has been filed on Albalwi's behalf.

Currently, Hudson and Cavallo are out on $35,000 bail while, Ors, a German national is still in custody. If convicted, the three face three years in state prison.