Press Releases
MAN INDICTED FOR SCHEME TO DEFRAUD GENERAL ELECTRIC COMPANY OF NEARLY $800,000 WORTH OF VARIOUS HOUSEHOLD APPLIANCES
June 5, 2008
FOR IMMEDIATE RELEASE
KEVIN JOHNSON, age 33, a resident of Terrytown, Louisiana, was charged in a three-count indictment by a Federal Grand Jury for wire fraud and mail fraud, announced U. S. Attorney Jim Letten.
According to court documents, JOHNSON schemed to defraud General Electric of nearly $800,000 worth of various household appliances. It is alleged that JOHNSON represented himself as being president of Belford Restoration of Louisiana, a contracting firm. Belford Restoration of Louisiana was not registered with the State of Louisiana as a corporation or as a licensed contractor, nor did it have an established credit history with Dun & Brandstreet, a financial rating company. It is further alleged that JOHNSON submitted false documentation by fax to GE in Louisville, Kentucky, thereby allowing him to establish an account that permitted him to order on credit 1,141 household appliances valued at $790,277. The indictment charges that based on the representations in the false documentation, GE shipped a total of 1,141 of various household appliances, such as refrigerators, stoves and dishwashers, to storage units rented by the defendant. After being prompted by a GE sales representative to collect money, JOHNSON allegedly tendered to GE by mail, two checks totaling $455,000 drawn on closed accounts.
If convicted, JOHNSON faces a maximum term of imprisonment on each count of twenty (20) years, a fine of $250,000.00 and three (3) years of supervised release following any term of imprisonment.
U. S. Attorney Letten reiterated that the indictment is merely a charge and that the guilt of the defendant must be proven beyond a reasonable doubt.
The case was investigated by the Federal Bureau of Investigation. The case is being prosecuted by Assistant U. S. Attorney Michael McMahon.
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