Los Angeles Criminal Defense Attorney Blog

On June 7, a Riverside, California man named Rene Montes entered a guilty plea for dozens of counts of Southern California insurance fraud. The California Department of Insurance reported that Montes pled guilty to felony conspiracy, three counts of felony tax evasion, 59 counts of felony insurance fraud and 59 grand theft felony counts. Sentencing has been set for the end of July. Montes allegedly bilked insurance companies out of $1.5 million by perpetrating a scam to collect funds from AIG Claim Services with respect to outstanding workers’ compensation medical liens.

According to reports, Montes perpetrated the scam from around August 2003 through January 2006. Three other people have also been charged in connection with this Southern California insurance fraud: 47-year-old Cara Cruz-Thomson, 46-year-old Hector Porrata, and 43-year-old George Martinez. The three co-defendants were sentenced in the beginning of May for their connection with the scam. Porrata pled guilty to 50 counts each of grand theft felony and felony insurance fraud as well one felony count of conspiracy. The court ordered him to pay out $1.2 million and serve an 8-year prison sentence. Cruz-Thomson pled guilty to 11 counts each of grand theft and insurance fraud as well as a conspiracy count. She received a two-year prison sentence and an order to pay more than $220,000 in restitution. Martinez also pled guilty to 11 counts of grand theft and insurance fraud as well as a count of conspiracy. He also got a two-year prison sentence and an order to pay around $300,000 in restitution.

The Orange County District Attorney’s office and California Department of Insurance worked together for months to unpack all the subtleties of this Southern California white collar crime.

If you or a loved one faces similar charges, you’ll likely need an attorney who has experience and facility with complex civil and criminal matters to develop a winning strategy.

Attorney Michael Kraut of the Kraut Law Group in Los Angeles has ample experience with Southern California white collar crimes. In his former career as a senior Deputy District Attorney for Los Angeles, he boasted a 98% success rate at jury trials. He is Harvard Law School educated, and he leverages his connections from his stint as a prosecutor to advocate for the best interest of his clients.

The charges you face are real. Get real about your defense by connecting today with Attorney Kraut to build your best defense.

Last Wednesday, a Federal Judge gave a Pennsylvania doctor, John Kristofic, a year and a day in prison pursuant to a healthcare scam that lasted from 2003 to 2008. Southern California healthcare fraud experts have been poring over Judge Ambrose’s decision to determine whether and how the decision might be impact local cases.

The perplexing saga of Dr. Kristofic

The 62-year-old Dr. Kristofic (of Shadyside, PA) has a long and tumultuous history with the law. Back in the 1980s, he was brought up on charges under the Racketeer Influence and Corrupt Organizations Act of stealing more than a $1 million by billing for non-medically necessary tests. He allegedly invested the proceeds of this scam into private commercial real estate. The doctor settled that case for $0.75 million. He was later arrested and convicted of driving under the influence, AND he got probation for lying about his asset portfolio in 1991.

His latest arrest pertains to similar charges. From 2003 to 2008, Dr. Kristofic allegedly unfairly billed Medicare and other private insurers for services he never provided to his patients. Many Southern California healthcare fraud experts -- at this point reading about Dr. Kristofic’s bio --would feel pretty confident that his repeated chronic violations of the law should merit a harsh sentence.

But… the story thickens.

It turns out that Dr. Kristofic has another side -- an altruistic and giving one. Among other things, he provided free medical care for organizations like Operations Safety Net, Alcoholics Anonymous, and Catholic Charities. In a 2006 trip to Haiti, he gave out free care to the sick, an act which a local Reverend said “exuded a sense of compassion… it was extraordinary.” And Judge Ambrose received 60+ letters from various people and organizations commending Dr. Kristofic for his charity and extraordinary givingness.

As you can see, cases of Southern California insurance fraud can be a lot more complicated than they first appear in the headlines.

If you or a family member has been charged with healthcare fraud or any other white collar crime in Southern California, consider protecting yourself by retaining high quality legal counsel.

Continue reading "Southern California Healthcare Fraud Experts Scratch Heads over Double-Edged Decision in Pennsylvania Case" »

The Department of Justice emerged victorious on Tuesday in a case against Alan M. Ralsky, the self-titled Godfather of Spam. The 64 year-old Ralsky was sentenced to jail time as well as substantial fines for computer fraud in southern California and elsewhere.

The DOJ had argued that Ralsky -- in conjunction with a ring of associates -- violated the CAN SPAM Act and engaged in money laundering, mail fraud, wire fraud, and illegal use of emails and computer networks. Court documents said that his spammer ring worked for about a year and a half (from 2004 to mid 2005) to artificially jack up the prices of certain stocks by sending out bulk spam emails to people. After the stock prices went up, other individuals in the white collar crime syndicate traded on those stocks. Collectively, they thus managed to rake in millions of dollars in illegal gains.

The spammers used sophisticated software to avoid detection and conducted their operations not only here in the United States but also in China and Hong Kong.

Microsoft, in particular, seemed delighted by the news of the conviction of these white collar criminals. A company spokesman remarked: “Yesterday’s sentencing is a significant success and sends a clear message that the courts take this type of illegal conduct seriously.”

As a good white collar criminal defense attorney in Southern California might note, Penal Code sections 502(c) and 530.5(e) respectively cover computer access and fraud and mail fraud. Of course, with intricate computer fraud cases like this one, the issues of law can get quite complex. For instance, to prepare for the Ralsky matter, prosecutors no doubt had to consider not just applicable federal and state laws but also international laws.

Putting together a strategic battle plan for a fraud case can get incredibly technical. Both sides must assemble complicated cause-and-affect arguments. The prosecution, for its part, has to identify the mechanisms by which the alleged fraud acts were committed -- no small task, particularly when you're dealing with sophisticated spammers and computer gurus. The defense doesn’t have it easy either. In order to combat charges of computer fraud, the defense must aptly challenge the logic of the prosecution's arguments and cite relevant laws and cases.

If you or a family member or friend has been charged with a white collar crime, like computer fraud in Los Angeles, you may want to speak with veteran criminal defense Attorney Michael Kraut of the Kraut Law Group. Attorney Kraut has impressive intellectual firepower -- he is a graduate of Harvard Law School. He also has lots of experience "in the trenches" -- he served for years as Deputy District Attorney for the City of Los Angeles prior to representing white collar defendants. He has a knack for anticipating and deftly deflating prosecutorial arguments -- arguments that often leave even experienced defense attorneys confused and helpless.

With so much on the line -- not just for you but also for your family -- it makes sense to work with one of Southern California’s most trusted fraud defense attorneys.

Continue reading "Alan M. Ralsky, the "Godfather of Spam," Convicted of Fraud in Southern California (and elsewhere)" »

Nicholas Cage has long been one of Hollywood's leading lights. Unfortunately, a combination of overspending and possible Los Angeles embezzlement -- along with the collapse of the global markets in 2008 -- has beset the A-lister with serious financial problems.

Cage will soon face off against his former business manager, Samuel Levin -- the two parties have sued and countersued each other -- over charges that include embezzlement in Los Angeles.

According to an AP story, Levin has accused Cage of engaging in no-holds-barred spending sprees -- against his counsel -- over the course of many years leading up to the banking collapse in the fall of 2008. The actor allegedly purchased 15 houses, 22 cars (including nine Rolls-Royces), a "flotilla of yachts," a pair of European castles, a Gulfstream jet, ornate jewelry and pieces of rare art, and other "exotic items." In addition, the actor allegedly spent lavishly on "Gatsby style" affairs at his various estates, further undermining his cash flow. Cage maintains that his business manager kept him in the dark about the state of his finances.

The legal battle between the actor and his former manager will surely soak up a great deal of media attention when it commences in February 2010.

Even an experienced white collar criminal defense lawyer in Los Angeles might be challenged by a case as complex and as public as this one. An extensive investigation into financial practices, accounting ledgers, and other records may be required to build a solid defense; and it can be quite difficult -- even for experienced investigative teams -- to determine the "truth" about such convoluted financial situations.

Charges of embezzlement are relatively common in Hollywood, where individuals with lots of liquid cash -- such as movie stars and studio heads -- rely on proxies to manage their day-to-day financial operations. If someone's convicted of embezzlement in Los Angeles, he or she can be charged with either a felony or a misdemeanor. Common punishments can include:

• forced restitution
• fines
• jail sentences
• loss of professional credentials and licensing

If you or a friend or family member has been charged with embezzlement in Southern California or a Los Angeles DUI, it may behoove you to speak with attorney Michael Kraut of the Kraut Law Group. Attorney Kraut boasts extensive experience with white-collar crimes in Southern California. He's worked on literally dozens of relevant cases -- including a jury trial, which he argued successfully. He's a Harvard Law School alumnus and a former prosecutor for the city of Los Angeles. He has a natural acumen for the law, and he provides each client with compassionate and proactive representation.

Continue reading "Los Angeles Bankruptcy Case Pits Actor Nicolas Cage against His Former Business Manager" »

Prosecutors and top rated defense attorneys faced off in court today over the allegations of sex, lies and screenplays in the David Letterman extortion case. Extortion is a serious crime. A person convicted of this offense will most likely be sent to state prison for many many years. Extortion is defined as the use of either threat of violence or some other criminal means to cause any harm, including financial, to another person or their reputation, to obtain property from someone else with their consent.

In this case, Halderman is accused of threatening to divulge personal information about Letterman that could cause harm to the entertainer's reputation.

The case revolves around Halderman, a well known TV producer,whose wife had a long running affair with Mr. Letterman. Halderman is the accused extortionist who wrote a screenplay about Letterman's sex life with female staffers. The case stems from Halderman, who was angry over his wife's affair could not find any way to make his wife stop the relationship with the late night comic. Records indicate that he continually confronted his wife about ceasing the affair. She apparently apologized and committed to her relationship with Halderman. Things seemed to be mending between the couple until he found that she had not stopped the affair.

Halderman decided to take his revenge out on the keyboard. Penning a script about Letterman's hostile work environment. Then on September 9, 2009, Halderman delivered a portion of the script, which contained changed names, to Letterman's driver, with documents which corroborated Halderman's facts in the script. He then gave Letterman an opportunity to buy the script rather then see it made into a movie. Halderman met two times with Letterman's lawyers and in taped conversations in which he was recorded demanding money. Afterward, a check for $2 million was given to Halderman.

Halderman's criminal defense attorney indicated that their client was merely selling a screenplay and by filing the charges, the prosecutors were infringing on his First Amendment right of free speech.

Continue reading "David Letterman Is Informed That The White Collar Fraud Was Not What Halderman Intended When He Demanded Money To Keep His Mouth Hush" »

As we see the beginning of a new President and Vice President for the United States, we will most likely see a new beginning for criminal prosecutions for Los Angeles DUIs and Southern California criminal law.

Already the new administration has claimed that there will be a clamp down on crime. The local administrations have also claimed that they will vigorously prosecute even minor offenses. It will not matter if you are arrested for a Los Angeles DUI, a Long Beach crime, a San Fernando robbery, or a Pasadena DUI, the police will be trying to enforce the law to the fullest. For that reason, it is important to hire a Los Angeles criminal defense attorney who has the experience and knowledge to defend you.

The new emphasis on punishment for minor offenses is going to put regular citizens in a bad position. In the past, judges and prosecutors understood that there is a clear difference between people who are law abiding but who make a mistake, and those who a repeat offenders. Now, even minor offenses are going to punished more severely.

As a former prosecutor, Los Angeles criminal defense attorney Michael Kraut, handles criminal matters in the Los Angeles and throughout Southern California. His Harvard Law School training and over 14 years experience as a senior trial prosecutor has put Mr. Kraut in a unique position to defend individuals arrested and charged with Los Angeles based crimes.

If you have been arrested or charged with a crime and or you need to hire a Los Angeles pre-filing defense attorney or you are under investigation for violent crime in Southern California, please contact Los Angeles criminal defense attorney Michael Kraut for 24/7 assistance by phone at (323) 464-6453 or toll free at (888) 334-6344 or online.

In a shift from a decade ago, violent crime in Los Angeles has declined for 6 straight years. Police in this Southern California city are thankful in the decrease. Others worry that the decline will reversed due to the failing economy.

Los Angeles homicides decreased about 5% from the previous year. While that number is not that impressive, the total total drop of 27% in 5 years. Law enforcement claim that the decrease is due to the severe push in gang eradication.

Violent crime has also dropped for other Southern California cities. San Diego saw a slight down turn, while San Bernardino had a 7% decrease, and Orange County also saw a drop in violent crimes

Continue reading "Violent crime down in Los Angeles and Southern California in 2008" »

I want to wish everyone in the Los Angeles and Southern California area who reads or is redirected to this Los Angeles and Southern California Criminal Defense Blog a Merry Christmas and Happy Hanukkah. This blog is now six months old and I am pleased that it seems to have helped so many people. I have received many comments from people around the area that they have been helped by the information here.

In an attempt to wrap it up for the year I want to make sure that people are safe for this holiday season. I also want those people people who get into a Los Angeles DUI that if they should be stopped by the police in at a Southern California DUI checkpoint, or by Los Angeles law enforcement, that a Los Angeles DUI defense attorney is available 24/7 to assist if you or a loved one.

Because Southern California DUIs are taken so seriously, you need to know your rights and responsibilities. Remember you do not need to take the Los Angeles Law Enforcement PAS test in the field. If you are stopped by the police make sure to be polite. If they ask you to take the Los Angeles field sobriety tests you must comply. But if they ask or demand that you take a PAS test you are allowed to refuse. It is the recommendation of this Los Angeles DUI defense attorney to refuse this test. It can only be used against you. If you blow a significant BAC then you will be arrested. If you are taken to the police station you will be offered a choice of the breath or blood test. The choice is yours. But try to delay the test as long as possible. The law requires that the blood test must be taken with a specific time. If it is not done within the allotted time then the results will be thrown out in court.

Continue reading "Christmas and Holiday Wishes From Los Angeles and Southern California" »

The verdict that was heard around Los Angeles and Southern California ended today with the judge sentencing OJ Simpson to serious prison time. The jury returned verdicts for the robbery at a casino near the Sunset Strip, in Las Vegas.

Oddly enough, the man who captivated a world during the "trial of the century," was no longer being idolized. Today one of Las Vegas' toughest judges sentenced 61 year-old Simpson to a maximum of 33 years in prison. However, he will be eligible to be released on parole in as little as 9 years.

This case ended with verdict exactly 13 years to the date that the Los Angeles jury acquitted Simpson of the double murder of his wife, Nicole, and her friend, Ron Goldman. Feelings around of satisfaction rang clear from San Bernardino to Orange County to Long Beach. The general feeling in that the imprisonment of OJ was a long time coming.

A multi-cultural reaction of both African Americans and whites seemed to be almost universally satisfied with the verdict. Most felt that justice was served to Simpson, if not for this crime alone, then for the double murders in 1994.

The case that lead to his prison sentence involved a failed robbery attempt to get sports memorabilia that may or may not have belonged to Simpson. In 2007, Simpson and some of his friends brought weapons and a bad attitude to a hotel room where much of the activities were caught on audio and video recordings. Simpson denied there was a gun, but the evidence and jury disagreed.

Appeals will be filed, but for the next 9 years, Simpson will be in custody, most likely in solitary confinement for his safety.

Continue reading "Los Angeles Sees an End to the OJ Simpson Saga as OJ is Sentenced to Prison" »

Only a few minutes ago OJ Simpson , and his co-defendant were convicted of 12 different felonies. As most people know 13 years ago the Los Angeles County District Attorney's Office unsuccessfully tried Simpson on double murder charges. He was acquitted of all charges and was immediately set free. Soon thereafter he moved to Florida.

Simpson was never able to stay out of the news. Repeatedly he was hauled into court to face one charge or another however there was never a conviction. That all changed today. Simpson and his co-defendant, Mr. Stewart, now face a minimal of 15 years to life for the crimes that occurred at the Palace Station Hotel and Casino. Simpson is currently 61 years old. That means that Simpson will be at least 76 years old before he is eligible for parole.

Simpson faced a dozen charges stemming from a conspiracy between Simpson and five associates . They all stormed into the room of a sports memorabilia collectibles dealer. Many of the items that Simpson was convicted of stealing were given by Simpson to the dealer to avoid paying the multi-million dollar civil judgment . That Judgment was owed to the Goldman and Brown families after he was convicted in civil court in the deaths of Ron Goldman and Nicole Brown Simpson. All but one of his associates pled prior to trial, many of them ended up testifying against Simpson.

Continue reading "OJ Simpson Convicted 13 Years To The Day He Was Aquitted In Los Angeles of Double Murder" »

This past week there was a new turn of events on the recent crime wave of robberies on Melrose Avenue in Los Angeles. For the eighth time in recent weeks a group of young men have held up shoppers taking their personal possessions and scaring these victims. Some news reporters have incorrectly stated that the culprits were committing armed burglaries.

In California, robbery is defined by Penal Code Section 211 as the taking of personal property of some value, no matter how slight, from the immediate presence of another person, by the use of force or fear. The force could be a gun or other weapon. The fear element means that the person being robbed felt fear for their safety, or the safety of another person. It is punishable by jail or prison and and fines.

There are two types of robberies, first degree robbery and second degree robbery. Robbery of the first degree is when the person commits a robbery as defined previously, but the robbery occurs either at an ATM, in the home of a person, or of a taxi or bus driver. The more common form of robbery is robbery of the second degree. These are all other types of robberies, such as street muggings.

Continue reading "Robbers attack shoppers on Melrose in Los Angeles" »