Category Archives: Legal News

Hot chocolate: Did a Mafia drug network smuggle tonnes of stolen Lindor into Canada?

 REUTERS

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ROME – A Mafia drug-smuggling network moved millions of dollars worth of stolen Lindt chocolate across Europe and into Canada, Italian prosecutors say.

About $17.6 million worth of wrapped Lindor chocolate balls were stolen from a transport hub near Lodi in Italy between April and August 2014.

But the thieves were stuck with the logistical problem of how to move the 175 tonnes of illicit treats.

So they reached out to a flower-seller previously busted with drug trafficking. He in turn got in touch with his friend, Mob boss Vincenzo Crupi, according to transcripts of conversations contained in court documents.

When Dutch police raided Crupi’s Fresh BV offices in March of last year, they found chocolate stored there, but did not let on that they suspected it had been stolen.

Instead, they watched.

In December, as a truck left Fresh BV carrying some 15 tonnes of the stolen chocolate, police stepped in.

A further 20 tonnes of chocolate were seized south of Rome.

Investigators also say refrigerated containers carrying 25 pallets of the stolen Lindt chocolate were sent to Canada.

Giuseppe Belcastro, one of Crupi’s lawyers, said his client denies having tried to sell stolen goods. The case is still under investigation and no trial has yet been sought.

Lindt & Sprungli, the maker of the chocolate balls, confirmed the theft when it happened, but had no comment on the continuing investigation.

Sourced From – http://www.torontosun.com/2016/04/11/hot-chocolate-did-a-mafia-drug-network-smuggle-tonnes-of-stolen-lindor-into-canada

Wells Fargo admits deception in $1.2 billion U.S. mortgage accord

BY JONATHAN STEMPEL

Wells Fargo & Co (WFC.N) admitted to deceiving the U.S. government into insuring thousands of risky mortgages, as it formally reached a record $1.2 billion settlement of a U.S. Department of Justice lawsuit.

The settlement with Wells Fargo, the largest U.S. mortgage lender and third-largest U.S. bank by assets, was filed on Friday in Manhattan federal court. It also resolves claims against Kurt Lofrano, a former Wells Fargo vice president.

According to the settlement, Wells Fargo “admits, acknowledges, and accepts responsibility” for having from 2001 to 2008 falsely certified that many of its home loans qualified for Federal Housing Administration insurance.

The San Francisco-based lender also admitted to having from 2002 to 2010 failed to file timely reports on several thousand loans that had material defects or were badly underwritten, a process that Lofrano was responsible for supervising.

According to the Justice Department, the shortfalls led to substantial losses for taxpayers when the FHA was forced to pay insurance claims as defective loans soured.

Several lenders, including Bank of America Corp (BAC.N), Citigroup Inc (C.N), Deutsche Bank AG (DBKGn.DE) and JPMorgan Chase & Co (JPM.N), previously settled similar federal lawsuits.

But Wells Fargo held out, and its payment is the largest in FHA history over loan origination violations.

Friday’s settlement is a reproach for “years of reckless underwriting” at Wells Fargo, U.S. Attorney Preet Bharara in Manhattan said in a statement.

“While Wells Fargo enjoyed huge profits from its FHA loan business, the government was left holding the bag when the bad loans went bust,” Bharara added.

The accord also resolved a probe by federal prosecutors in California of alleged false loan certifications by American Mortgage Network LLC, which Wells Fargo bought in 2009.

No one has been criminally charged in the probes, and the Justice Department reserved the right to pursue criminal charges if it wishes, according to the settlement.

Franklin Codel, president of Wells Fargo Home Lending, in a statement said the settlement “allows us to put the legal process behind us, and to focus our resources and energy on what we do best — serving the needs of the nation’s homeowners.”

Lewis Liman, a lawyer for Lofrano, did not immediately respond to requests for comment.

Wells Fargo on Feb. 3 said the settlement would reduce its previously reported 2015 profit by $134 million, to account for extra legal expenses.

The case is U.S. v. Wells Fargo Bank NA, U.S. District Court, Southern District of New York, No. 12-07527.

(Reporting by Jonathan Stempel and Nate Raymond in New York; Editing by Dan Grebler)

Federal prosecutor reviews possible use of RICO law for Altoona-Johnstown

By Peter Smith / Pittsburgh Post-Gazette

U.S. Attorney David Hickton said his office is looking into whether a federal civil law on organized crime can be applied to the Roman Catholic Diocese of Altoona-Johnstown in the wake of a state grand jury report that said it had a history of clergy sexual abuse and coverup.

The report found that much of the abuse by diocesan priests dated back several decades, and neither the abuse nor any alleged coverup could be prosecuted under the statute of limitations.

But federal laws allow U.S. prosecutors to bring a civil case against an organization and seek an injunction or a consent decree to shape its future behavior, and such cases do not have a statute of limitations, he said.

Mr. Hickton said his office is looking into the case because it prosecuted one Altoona-Johnstown priest, Joseph Maurizio, who last month was sentenced to 17 years in federal prison for sexually abusing boys at a Honduras orphanage between 2004 and 2009.

U.S. Attorney David Hickton said his office is looking into whether a federal civil law on organized crime can be applied to the Roman Catholic Diocese of Altoona-Johnstown in the wake of a state grand jury report that said it had a history of clergy sexual abuse and coverup.

The report found that much of the abuse by diocesan priests dated back several decades, and neither the abuse nor any alleged coverup could be prosecuted under the statute of limitations.

But federal laws allow U.S. prosecutors to bring a civil case against an organization and seek an injunction or a consent decree to shape its future behavior, and such cases do not have a statute of limitations, he said.

Mr. Hickton said his office is looking into the case because it prosecuted one Altoona-Johnstown priest, Joseph Maurizio, who last month was sentenced to 17 years in federal prison for sexually abusing boys at a Honduras orphanage between 2004 and 2009.

Sourced From – http://www.post-gazette.com/news/state/2016/04/02/Federal-prosecutor-reviews-possible-use-of-RICO-law-for-Altoona-Johnstown/stories/201604020025

Anti-mafia campaigner in Sicily arrested on mafia-charges

An anti-mafia campaigner once hailed as a hero for blowing the whistle on organised crime has been arrested in Sicily on mafia-related charges.

Cement supplier Vincenzo Artale, 64, had publicly denounced efforts by local mobsters to extract protection money and had even helped founded an anti-mafia association a decade ago in Alcamo, the town between Palermo and Trapani where he had a small business.

But in the decade that followed, prosecutors allege Artale began using his anti-mafia façade as a cover for keeping shady local deals quiet, while doing business with some of Sicily’s biggest mafia bosses on the side.

“Yet again wiretappings have revealed that pretending to be anti-mafia is the perfect shield to mask businesses operating in the shadow of the mafia,” Teresa Principato, one of the prosecutors working on the case, told La Repubblica.

In 2006, Artale was lauded for his courage after he reported local Mafiosi who he said had tried to extort protection money from him. He was compensated  €250,000 from a state-run victim’s solidarity fund and founded a local anti-racket association.

But not long afterwards, prosecutors say Artale began working for a local mobster thought to be one of the key associates of the fugitive Cosa Nostra leader who is Italy’s most wanted man: Mattia Messina Denaro.

According to Italian reports, the gangsters struck a deal with Artale – he would shield them from exposure and in return they would force local construction companies to buy his cement.

His cement business boomed.  But Artale’s sudden wealth triggered suspicion among the townsfolk and soon his anti-mafia double agent game was up. Local builders joined forces to denounce that they were being intimidated to buy his cement, triggering the two-year-long investigation that led to his arrest Wednesday.

He is the latest of several high-profile Sicilian businessmen caught privately working with the mafia while publicly decrying organised crime.

Last year, the head of the Palermo chamber of commerce Roberto Helg, who had publicly denounced the mafia’s extortion practices, was secretly filmed taking a €100,000 bribe in exchange for a pastry shop’s retail space in the airport.

Sourced From  – http://www.telegraph.co.uk/news/2016/03/31/anti-mafia-campaigner-in-sicily-arrested-on-mafia-charges/

Deadmau5 Sues Vape Company for Trademark Infringement

MARCH 31, 2016 6:56pm PT by Ashley Cullins

The deadmodz vape brand is confusing deadmau5 fans who think the electronic music star is behind the electronic cigarette line, according to the lawsuit.

Electronic dance music master Joel Zimmerman says West Coast Vape Supply is intentionally infringing on his deadmau5 trademark, according to a federal lawsuit filed on Thursday in California.The deadmodz electronic cigarette line is trying to capitalize on Zimmerman’s fame, and according to the lawsuit the products “overlap with, are closely related to deadmau5’s goods and services and/or represent a natural zone of expansion for deadmau5, and such goods are or would be marketed and sold to the same types of consumers through the same channels of trade.”

Zimmerman is suing for trademark infringement and false association, and is seeking statutory and punitive damages and a permanent injunction to ban West Coast Vape from using deadmodz.

His attorney Irene Lee sent a statement to The Hollywood Reporter saying they’re suing to protect the artist’s trademark and his fans.

“Our client faces unscrupulous people trying to take advantage goodwill associated with his intellectual property and his fame,” Lee writes. “We are grateful for our fans and believe it’s our obligation to make sure our fans are not duped into buying things that deadmau5 did not authorize.”

The lawsuit claims deadmau5 is not only a trademark, but a brand Zimmerman has been building for more than a decade. It also explains the origins of his onstage persona.

In 2002 Zimmerman took his computer apart and found a dead mouse inside. When he posted the story online, people started referring to him as “dead mouse guy.” He embraced the new nickname and tried to change is screen name to “deadmouse” but found the Internet Relay Chat channel he was using limited usernames to eight characters. Using leet spelling, he became deadmau5.

Not only is the name “deadmodz” similar to “deadmau5,” Lee argues, but also the vape company copied the bubble font Zimmerman uses in his logo.

Lee shared this photo, which is an exhibit to the suit:
Screen Shot 2016-04-02 at 2.06.57 AM

In an effort to avoid the litigation, Zimmerman’s transactional attorney Dina LaPolt sent several letters to Alham Benyameen, the principal of West Coast Vape.

After an initial cease and desist letter, sent on Feb. 5, Benyameen substantially changed his website and logo design.

In response LaPolt made it clear that wasn’t good enough and tried again to settle out of court in a Feb. 19 letter.

“Please understand that your attempted changes do not negate that fact that you have violated and continue to violate our client’s rights, and thus are liable for, among other things, trademark and copyright infringement and attendant damages,” LaPolt writes. “In fact, your changes only highlight your acknowledgement and concession of wrongdoing, which admittedly is willful, knowing and intentional.”

When they didn’t respond, Lee prepared the suit.

“Instead of conceding their wrongdoing and agreeing to comply with our requests, they refused to acknowledge deadmau5’s intellectual property rights and their wrongdoing, necessitating this legal action,” she writes in her statement to THR. “We intend to vigorously protect deadmau5’s rights.”

West Coast Vape did not immediately respond to a request for comment.

Sourced From – http://www.hollywoodreporter.com/thr-esq/deadmau5-sues-vape-company-trademark-879815