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Release Date: 01/27/2000 Release Number:
Contact Name: Chester J. Fultz Phone Number:212.337.2319 |
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Allan Huppe, a Canadian businessman, was sentenced
on January 25 in Federal District Court, Northern District of New York, to
serve three years in jail, followed by another three years of supervised
release, for fraud and embezzlement from the pension fund of the Highland
Nursing Home in Massena, New York. |
According to John McGlynn, regional inspector
general for investigations of the U. S. Labor Departments Office of the
Inspector General, Huppe was found guilty of two counts of wire fraud and one
count of embezzlement from the nursing home retirement plan, following an
eight- day jury trial. Huppe was also ordered to pay $750,000 in
restitution. |
The original indictment charged that Huppe used
monies deposited from the retirement plan for personal purposes. Huppe assured
a retirement plan trustee that he would purchase and sell financial instruments
at no risk to the plan and repay the plan out of trading profits. Huppe then
fraudulently transferred plan assets to banks in Canada, Nigeria, Japan and
Bermuda. The indictment further charged that on repeated occasions Huppe
provided written confirmation to the retirement plan indicating that deposit
balances at Navy Street Bancorp, which he owned, were in excess of $750,000,
when in fact the funds had been disbursed. |
The case was jointly investigated by the Federal
Bureau of Investigation and the U. S. Labor Departments Pension and
Welfare Benefits Administration, and was prosecuted by Assistant U. S. Attorney
Mike Olmstead in Syracuse. |
U.S. Department of
Labor news releases are accessible on the Internet. The information in this
news release will be made available in alternate format upon request (large
print, Braille, audio tape or disc) from the Central Office for Assistive
Services and Technology. Please specify which news release when placing your
request. Call 202.693.7773 or TTY 202.693.7775. |
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Archived News Release Caution: Information may be out of date.
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