Los Angeles Criminal Defense Attorney Blog

Most people who go to jail for crimes like Los Angeles Medicare or Medi-Cal fraud do not spend weeks or months ruminating over whether to skirt the law and ultimately decisively concluding to “lead a life of crime.”

That may be the way events play out on TV. But, in reality, the temptation to commit any Southern California white collar crime, like Los Angeles credit card fraud, insurance fraud in Los Angeles, etc is slowly and incrementally hatched.

In other words, there is no "a-ha!" moment – no epiphany where a doctor, chiropractor, dentist, or other professional makes an “evil villain” type speech and crosses over to the dark side.

Instead, what happens is that frustrated, angry, or opportunistic business people come to identify fraudulent activities as doable and acceptable, based on their circumstances. The human mind has an amazing ability to justify what it wants to justify. Thus, for instance, say you are a doctor who has spent years getting ripped off by unfair insurance practices and patients who skip out on bills. You may develop the belief that it’s right to “take something back” for yourself, and thus the seeds for Medicare or Medi-Cal fraud are planted in your mind.

You may develop this belief months, if not years, before you violate industry norms, but the belief sits there, eroding your good judgment and causing you stress.

The other thing to remember is that white collar crimes are often crimes of desperation. Or at least they start out that way. Perhaps you had a mortgage payment ballooning ever higher every month. Or maybe you have kids in school, and you need to pay for their education somehow. Or maybe you become aware of a gray market connection with a dubious pharmacy, or you read about some cunning scheme that another medical fraud artist pulled off in some other state.

The point is: what drove you to do what you did was almost certainly a real and understandable human need. Maybe you needed to protect your children, save your home, prop up the business that you grew and loved, enjoy the fruits of your labor. Whatever the fundamental need was, it was not necessarily a bad thing. The strategy that you may have employed might have been dangerous, stupid, illegal, etc. But avoid condemning the need that drove you to desperate measures.

Of course, platitudes aside, you need a specific, action-oriented plan to help you build a defense. Los Angeles Medicare fraud attorney Michael Kraut of the Kraut Law Group can help you discover the most picture perfect legal plan based on what you’ve been charged with.

As regular followers of this blog’s ongoing series on Los Angeles Medicare fraud know, the Federal Government has been stepping up its campaign to bust up Southern California insurance fraud and other white collar crimes – particularly Medicare and Medicaid related schemes.

Today, we'll focus on a major news story out of Detroit, Michigan. According to the AP, Oscar Linares, a 53-year-old Michigan doctor, allegedly fraudulently billed Medicare for $5.7 million between 2008 and 2010. The Wednesday before last, authorities broke into Linares’ clinic, The Monroe Pain Center, and arrested the doctor.

According to reports from the Monroe Evening News, Linares’ Medicare fraud was unusually intense. He allegedly saw 250 patients a day – actually, he didn’t specifically "see" the patients, he had proxies see the patients and dole out prescriptions for controlled substances like OxyContin. Indeed, if more than 200 patients came in a day, employees allegedly would get bonuses!

The AP says that Linares “had patients get medical tests without regard to their symptoms and medical conditions.” Authorities seized 7 luxury cars Linares owned as well as four bank accounts that he allegedly stuffed with money from the Medicare fraud.

Obviously, the superficial evidence suggests the government might have a strong case against Linares. But it’s important not to rush to judgment when you read reports about Southern California white collar crime, Medi-Cal fraud, Los Angeles credit card fraud, and the like. After all, situations that appear from news reports to be “black and white” – as in, “this guy is obviously guilty” -- may turn out to be far more nuanced upon deeper examination.

This isn’t to say that a doctor, chiropractor or dentist accused of Southern California white collar crime will be totally innocent of the charges – but rather that news reports can artificially “gin up” our tendency to prejudge defendants.

Note also: We are not saying that white collar crime and Medicare fraud are not huge problems for this country and that perpetrators should not be stopped. Rather, the argument is that it’s important to holistically examine fraud cases instead of demonizing individual defendants. In other words, is there really an epidemic of fraud? What’s driving it? And how best can we motivate doctors and others to play within the rules?

When dealing with complicated issues like prescription narcotic addiction and Medicare fraud, it’s temptingly easy to draw lines between the “good guys” and the “bad guys” – but this a lazy way of approaching the problem. Instead, let’s have the collective courage to understand the root causes driving addiction, abuse of medical power and waste in government entitlement programs.

If you or a family member stands accused of Los Angeles Medicare or Medi-Cal fraud, a Los Angeles criminal defense attorney can be an invaluable asset. Mr. Michael Kraut (of the Kraut Law Group based in Los Angeles) is a former senior level city prosecutor who now represents defendants like you. He has an amazing record at jury trials and has won respect not only from his peers but also from judges and other prosecutors.

For last several years, we've witnessed massive arrests for Southern California Medicare fraud and other healthcare fraud schemes around the nation. Billions of dollars have been seized, and hundreds of people have been arrested and brought to trial. The news practically glitters every week with examples of chiropractors, dentists, doctors, and other healthcare providers caught up in the dragnet.

According to the Centers for Medicare and Medicaid Services, President Obama’s 2012 budget proposes a variety of new antifraud tools that will escalate the government’s fight against fraudsters and scam artists. Some experts estimate that the antifraud tools may save over $32 billion over the next decade. What are some of these new antifraud tools, and will these enhanced tactics really repair the system and prevent abuse and graft?

First, let’s take a look at some crucial statistics:

• The Government Accounting Office (GAO) estimated that nearly 10% of total outlays – around $48 billion – were “improper” in 2010.
• A cardiothoracic surgeon and Republican representative from Louisiana, Dr. Charles Boustany, testified that “Medicare fraud has become such an attractive target for criminals that the FBI and OIG have seen an increasing number of foreign criminal groups coming to America to exploit the program because it’s less risky and a lot more lucrative than other illegal ventures.”
• The House Ways and Means Committee heard testimony from a Nigerian immigrant, Aghaegbuna Odelugo, who pilfered nearly $10 million from Medicare last decade by deploying 14 different front companies to defraud Medicare by false billing for wheelchairs, DEMA pumps, and orthotics. Odelugo testified that “the primary skill required to do it [commit the Medicare fraud] successfully is knowledge of basic data entry on the computer.” Scary stuff.

The antifraud tools proposed include:

• An additional $350 million (to be allocated over this next decade) to help law enforcement detect fraud;
• Heightened scrutiny for providers who sign up for Medicare – particularly high risk caregivers;
• Increased use of recovery audit contractors for a variety of programs, including Medicaid and Medicare Advantage;
• Better data sharing and data analytics among federal agencies to identify fraud in real time;
• Centers for Medicare and Medicaid Services can stop payment immediately if a fraud allegation hits the radar.

Doctors, chiropractors, other caregivers who’ve been hit with Southern California white collar crime charges, charges of Los Angeles credit card fraud, or Los Angeles insurance fraud often don’t understand the scary options that prosecutors can deploy to hold them accountable. A talented Los Angeles criminal defense lawyer, like Michael Kraut, can give defendants the strategic advice they need to draft and execute an appropriate, methodical defense.

It’s no secret that Lindsay Lohan’s 2007 Los Angeles DUI arrest has been one of the most publicized celebrity DUI situations in history – probably because the 24-year-old actress continues to encounter legal problems, some of which clearly appear to be self generated.

Last week, a Los Angeles judge extended Lohan’s deadline to accept or reject a plea deal pursuant to felony grand theft charges. On March 25th, Lohan will decide whether to accept the plea or go in front of a different judge in late April to face a preliminary hearing about whether enough evidence exists to take her to trial for her theft of a $2,500 necklace from the Venice jewelry store, Kamofie & Company.

Since her 2007 arrest, hundreds of people have been arrested for driving under the influence in Los Angeles, DUI in Pasadena, Burbank DUI, Glendale DUI, and DUI throughout the Southland. But Lohan’s case has probably garnered more media ink (both printed and virtual) than most or even all of these other DUI events combined.

Why is that?

One reason might be the escalating nature of Lohan’s legal troubles. In 2010, for instance, Lohan allegedly attacked a worker at the Betty Ford Rehab Clinic, tested positive for drugs and endured a second prison stint for violating her 2007 Los Angeles DUI probation, allegedly lost her passport, and got ordered to wear an alcohol monitoring bracelet and attend additional alcohol education classes. Lohan also lost out on a high profile job – she was slated to star in a biopic of Linda Lovelace (an ex porn star) but got cut and replaced by Watchmen co-star Malin Akerman – possibly because the director did not want to attract negative media attention to the film.

Also, in April last year, police questioned Lohan regarding a theft of a $35,000 Rolex watch.

Lohan’s repeated criminal behavior is known technically as “recidivism.” Studies suggest that people who break the law once will be far more likely to do so again, and the legal system builds in escalating punitive possibilities for repeat offenders.

For instance, consider how Beverly Hill DUI penalties go up as you get convicted for multiple crimes. During a first misdemeanor conviction, you will get 48 hours in custody with a maximum of six months behind bars. You may have a minimum of six weeks in alcohol school, a one-year license suspension, a $1,000 fine, tough probation terms, and court costs to pay. These are obviously not consequences to easily dismiss.

But what should happen if you get a second misdemeanor conviction within 10-years? Suddenly, your mandatory jail time hops up to 10 days behind bars, you can have a minimum of a year and a half of alcohol school, a two-year drivers license suspension (instead of a one-year), much stricter probation terms, and hiked up court costs and fees.

Third and fourth time Beverly Hills DUI offenders can suffer even more consequences – including the bumping up of what would ordinarily be a misdemeanor to a felony charge.

A Los Angeles criminal defense attorney, such as Michael Kraut of Beverly Hills Kraut Law Group (9107 Wilshire Blvd., Suite 450, Beverly Hills, California 90210 Phone: (310) 550-6935), can work with you and your family to ensure that you understand your rights and responsibilities under the law.

Mr. Kraut – who has spent a decade and a half of his life as a prosecutor for Los Angeles, during which time he worked assiduously to put defendants behind bars – leverages his former connections from his days as a prosecutor as well as his Harvard Law School education to deliver exceptional results for his clients. His results really do speak for themselves – a 99% success rate at jury trials, great reviews from past clients, admiration from prosecutors and judges, and invitations from major media, like The New York Times, and KTLA Los Angeles, to comment on DUI news of the day.

Continue reading "Beverly Hills DUI Spectacle – Lindsay Lohan's Court Saga Unfolds In Ever New Directions" »

Analysts who study health, chiropractic, and dental fraud in Los Angeles have been heatedly discussing a case out of Kansas. A former doctor, John R. Toth, pled guilty last week to a variety of federal counts, including a count of reckless and voluntary manslaughter, stemming from a bizarre scheme to treat patients for a non-existent epidemic of Lyme disease.

The Weird Back Story

In 2001, the then Dr. Toth collaborated with a variety of businesspeople associated with the firm American Biologics to market drugs and a special microscope by ginning up fears of a Lyme disease epidemic. Apparently, Toth and his associates believed that Lyme disease was a primary cause of many illnesses. In any event, Toth prescribed various medications that the Food and Drug Administration had neither reviewed nor approved. One of those patients, Beverly Wunder, suffered serious renal failure as a result of the intravenous injection of a medication, and she fell into a coma and died. Toth was arrested and charged with a variety of crimes, including misbranding drugs for interstate commerce, using adulterated medical devices, committing mail fraud, and committing reckless and voluntary manslaughter.

If convicted of all recent counts, the 61 year-old could face 5 years in federal prison and a fine of $250,000. He already served 32 months in a state jail, after he pled no contest to the reckless and voluntary manslaughter charge back in November 2007.

If you or someone you care about has been arrested for Southern California healthcare fraud, Los Angeles insurance fraud, or white collar crimes in Southern California, you could face serious penalties. Prosecutors could charge you pursuant to Insurance Penal Code Section 550, Insurance Code Section 1871.4, Penal Code Section 118, or Labor Code Section 3700. Your charges and potential penalties obviously will depend on what you did and how prosecutors want to handle your case.

So how should you respond most effectively? A connected and experienced Southern California medical fraud attorney can help you piece together a smart, proactive defense.

Continue reading "Southern California Medical Fraud Experts Examine Kansas Doctor’s Sentence" »

Last week, two former operators of a Miami Clinic pled guilty in Federal Court to multiple counts of submitting false claims, committing fraud, and paying kickbacks, prompting a wide ranging discussion among Southern California medical fraud policy wonks.

Jose Nogueira and his brother Rolando Nogueira operated a clinic for AIDS patients called T&R Rehabilitation Professional Corp. They allegedly bilked the government for services that they didn’t provide – particularly expensive HIV infusion services. In April, the government handed down an indictment against the brothers, and they fled the U.S. But the long arm of the law caught up with them. They got apprehended and brought back to Miami for trial for Medicare fraud amounting to over $13.7 million. A sentencing hearing has been scheduled for the 5th of November, and each brother faces a maximum of 40 years in prison for the multiple counts.

Los Angeles Medicare fraud, insurance fraud, credit card fraud, and other white collar crimes can result in massive jail sentences, steep fines, and other grievous penalties. Southern California healthcare fraud is charged according to Insurance Code Section 1871.4 as well as Penal Code section 550. Healthcare employers can also be charged under Labor Code section 3700 and Penal Code section 818. If you are convicted of Southern California healthcare fraud, you can face jail time, loss of your medical license, major court costs and fines, and forced restitution to insurers or Medicaid or Medi-cal.

There is also often a delay between the initiation of an investigation (e.g. search warrants, etc.) and the filing of charges due to the complexity of Los Angeles white collar crime cases.

What exactly constitutes healthcare fraud? A variety of offences fall into this category, including prescribing medications that are unnecessary or unneeded (like the HIV infusions mentioned above), falsifying or doctoring medical records, billing insurers or Medicare for care that was never provided or not needed, double billing, and requiring patients to undergo tests or procedures that are not medically necessary.

What should you do if you or a loved one faces charges of Los Angeles healthcare fraud? In short, you likely need to retain an attorney ASAP to advise you as to your best strategy. Michael Kraut of Los Angeles’ Kraut Law Group can assist. Attorney Kraut is a Harvard Law School educated former D.A. for Los Angeles with an excellent track record. He has been featured as a legal expert on KTLA Channel 5, the New York Times, ABC News, CBS Evening News, and CNN.

Blogs and local media outlets dedicated to covering breaking news about Southern California white collar crime have been lighting up over a huge Medicare scam bust sprung the Friday before last. CBS and the AP report that, on Friday July 16th, Federal authorities took down 94 people in conjunction with over $250 million worth of Medicare fraud in five states.

This constituted the largest bust of its kind in history.

Suspects were arrested in Baton Rouge, Houston, New York, Detroit, and Miami for doing things like billing Medicare for physical therapy, medications, and treatments that never took place; purchasing phantom equipment; and engaging in elaborate cover up activities. The largest scam took place at the Bay Medical Clinic in Brookline, where authorities contend that the operators of the fraud ring stole $72 million from Medicare by submitting false claims on behalf of senior Russian immigrants. Over 3,700 claims got filed under the name of one elderly woman alone, and many patients literally sold their Medicare numbers to make extra money. At Bay Medical, authorities alleged a room had been set up replete with Soviet Union style propaganda, including a Lenin era poster that warned in Russian “be on the lookout: in these days the walls talk.”

Los Angeles healthcare fraud is a very serious crime – and clearly the government is making a concerted effort all across the country (including Southern California) to catch white collar criminals – particularly now that President Obama’s Affordable Care Act provides officials with extra powers to stop and punish suspected providers.

A variety of laws may be applicable in health care fraud cases, including Penal Code Section 550, Industrial Code Section 1871.4, Penal Code Section 118, Labor Code Section 3700… and that’s just the beginning, actually.

What constitutes Los Angeles healthcare fraud? Anything from double billing to providing unnecessary procedures to subjecting patients to unnecessary testing to falsifying patient records to billing insurers or Medicare for care that never got provided.

Defending against charges of Los Angeles insurance fraud can require serious legal legerdemain. Although a Southern California white collar crime attorney can help you put up a stiff and robust defense, you need to provide him or her with good information and potentially be prepared for a long and drawn out battle – especially if you face serious, complex charges.

Fortunately, attorney Michael Kraut of the Kraut Law Group can establish a powerful strategically-focused defense. Attorney Kraut is not your average Los Angeles white collar crime attorney – he is a Harvard Law School educated former prosecutor who has appeared as a legal expert for the Los Angeles Times and has been featured on NBC Nightly News, CBS Evening News, and CNN.

Individuals contemplating committing Southern California medical insurance fraud should be on notice: the government is cracking down. Last June, the Feds initiated a multi-state bust-up of healthcare fraud operations that allegedly bilked the system out of $50 million, collectively. Two of the biggest alleged offenders – Bernice Brown and Daniel Smorynski – got convicted last week in US District Court of a fraud scheme that bilked Medicare out of more than $6.5 million.

Below are the details about the case:

Between October 2002 and January 2007, Brown (who owned a Michigan-based business called Wayne County Therapeutic) and her Vice President, Smorynski, drafted bogus files to bill Medicare for occupational and physical therapies they never actually performed. All told, they submitted $23.2 million worth of claims to Medicare. The courts came down harshly on both of them. Brown got convicted of 10 counts of healthcare fraud and one count of conspiracy to commit fraud – each of these 11 charges has a maximum penalty of $250,000 in fines and 10 years in jail.

Smorynski, for his part, was found guilty of six counts of healthcare fraud and one count of conspiracy. Clearly, the government is taking these medical fraud cases very seriously.

If you have been charged with Los Angeles healthcare fraud, mostly likely, you will be charged pursuant to a special code, called Insurance Code Section 1871.4. On top of that, you may face charges under Penal Code Section 550. If you’ve made a false statement to prosecutors, you could face charges under Penal Code Section 118. In certain cases, if you are an employer, you may also be found in violation of yet another section, Labor Code Section 3700.

The following activities could be construed as Southern California healthcare fraud: falsifying medical documents, double billing, giving unnecessary procedures or tests to patients, and billing carriers or Medicare for services not provided (like Brown and Smorynski did).

As even this brief (and oversimplified!) introduction to Los Angeles healthcare fraud suggests, these legal charges can get incredibly complicated. If you or a loved one stands accused of a similar charge, you could face catastrophic financial fallout as well as a long prison sentence, if you don’t put up a stiff defense. To that end, you likely want an attorney who has lots of experience and proven success with Southern California white collar crimes.

Michael Kraut of the Kraut Law Group in Los Angeles is a proven, highly respected, and well trained advocate for Southern California white collar criminal defendants. Attorney Kraut spent years serving the city as a prosecutor before switching to become a defense attorney. He knows how prosecutors typically operate, and he can use his knowledge and intuition of the process to deliver an exemplary defense.

On May 7th, an L.A. Superior Court Judge ordered local businessman Joseph Baiden to pay over $1.3 million in restitution for committing Southern California insurance fraud. According to a KPCC news story, Baiden had illegally underreported his workers comp pay roll in conjunction with a company called Nurse Connection Inc. He also failed to pay insurance premiums for workers comp. Initially, Baiden had been ordered to spend five years in prison, but Judge Horowitz agreed to allow the 57-year-old Diamond Bar resident to have five years supervised probation, including 90-days of electronic monitoring. In addition, Baiden will have to pay over $100,000 in investigative fees to the California Department of Insurance.

Moving forward, as a result of pleading guilty to Southern California workers comp fraud, Baiden must submit his tax returns to both the DA’s office and the Department of Insurance and offer clear proof both that he has workers comp insurance and that he is in complete compliance with his payment obligations. Baiden will return to court on November 8th to submit a progress report.

Los Angeles insurance fraud charges can be complicated to understand and difficult to fight. Different laws cover different kinds of Southern California insurance fraud. For instance, Penal Code Section S550(a)(5) defines medical insurance fraud; whereas California Insurance code Section 1872.8 spells out the definition of Auto Insurance fraud.

If you or a loved one is being investigated for any kind of Southern California fraud – from life insurance to medical insurance to auto fraud – odds are that you need a reliable, trustworthy, and trial-proven attorney to see you through the difficult legal proceedings ahead.

Continue reading "Businessman Ordered to Pay $1.3 Million in Southern California Insurance Fraud Case" »

Websites like RadarOnline, PopEater, and Perez Hilton’s blog constantly report on the latest celebrity Los Angeles DUI news. Over the past decade alone, we have seen some of our most beloved TV and movie stars -- including Lindsay Lohan, Paris Hilton, Nick Nolte, Stephanie Pratt and, perhaps most famously, Mel Gibson -- get arrested for DUI in Los Angeles (and elsewhere). But one DUI-related story that’s often not covered by the “mainstream” celebrity blog-press is the rash of lawnmower DUI arrests -- a crime that appears to be becoming increasingly common, however bizarre it may seem to most readers.

Consider the following stories that have broken just in the past month alone.

1. On April 6th, a 47-year-old Lancaster, New York resident named Joseph Simme was arrested after driving under the influence on his lawnmower on Walden Avenue. He nearly hit several vehicles. Fortunately, police pulled him over and found that he had many prior DWI charges as well as a revoked license. Upon testing, it was revealed that he had a BAC of 0.14% (remember, the legal limit for Southern California DUI is 0.08%). He was charged with multiple felony counts.

2. Just six days later -- on April 12th, a man named Martin McMurray of Blountville, Indiana was also busted for lawnmower DUI, after leading police on a low-speed chase for nearly half a mile (thus despite the fact that police loudspeakers were blaring and sirens were wailing). McMurray allegedly drove against traffic and nearly lost his balance after being pulled over.

3. Just two days after that, on April 14th, a 30-year-old man named Jimmy Graham Jr. was busted in Athens, Tennessee for DUI on a lawnmower. He allegedly stole some fishing poles from a local resident’s garage and then took off on his lawnmower. He is currently charged with theft and aggravated burglary as well as DUI.

Could a lawnmower DUI in Los Angeles be next?

Perhaps not. Remember, Los Angeles is an urban environment. All aforementioned arrests happened in the suburbs/rural areas. And fewer people ride lawnmowers here, so one might expect fewer lawnmower Los Angeles DUIs. Nevertheless, the prospect of a lawnmower Southern California DUI does loom large, particularly as spring blooms and we head into summer -- when the bulk of lawn maintenance is done in Southern California.

Of course, as intriguing as lawnmower DUI might be to the casual reader, the charge of a Long Beach DUI is no laughing matter, neither for defendants, nor for the victims of any DUI accident.

If you or a loved one has been tagged for driving under the influence in Long Beach, you may need legal representation.

Continue reading "More Bizarre than Even the Most Outlandish Celebrity Southern California DUI Charges -- Lawnmower DUIs!" »

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)" »

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" »

Three days after a former model's body was found stuffed in a small carry-on suitcase, the facts are beginning to appear more clear. Jasmine Fiore, 28, an aspiring real estate agent and former model was found dead as a result of murder......the person of interest, her former husband. The purported suspect, Ryan Jenkins, was a two time reality star who always wanted attention and the limelight. Now, he has suddenly disappeared and is in need of a Los Angeles criminal defense lawyer. All of the facts are not yet known. What is clear is that the Jenkins and Fiore had a brief, but stormy relationship.

Fiore and Jenkins were last seen at a poker game in San Diego. On Saturday, Jenkins reported missing to the Los Angeles County Sheriff's Department. Shortly thereafter he disappeared completely off the face of the earth. Based upon circumstantial evidence, Jenkins should seek the advice of a pre-filing Los Angeles criminal defense attorney.

They met in March of this year in Las Vegas, spent two days together and then got a Vegas "quickie" marriage. Things apparently did not last too long. After arguing constantly, Fiore filed for an annulment from the marriage. That stormy marriage resulted in a criminal filing of domestic violence against Jenkins. Jenkins was charged with misdemeanor battery. He was scheduled to go on trial this December for the violent crimes he committed against her.

Jenkins also had a criminal charge in his home country of Canada. In January 2007, he was given probation for an assault charge.

The victim's mother indicated that Fiore and Jenkins had been fighting recently over her past boyfriends. Apparently, he was jealous of the fact that Fiore had always remained good friends with people that she had previously dated.

Jenkins was just beginning his new career of attempting to become a reality star. He had just appeared on three episodes of "Megan Wants a Millionaire." He was identified as a wealthy investment banker bachelor on the series. However, now he has disappeared

Preliminary results show that Fiore was murdered by strangulation. The final autopsy report is pending and until it is released, the cause of death is officially undetermined.

Continue reading "Los Angeles Reality Star is Sought by Police for Murder in Buena Park" »

One of the first criminal prosecutions arising out of the settlement between the United States and the Swiss bank UBS, the second largest wealth manager, has just occurred in Los Angeles this week. The Federal government had sued the Swiss bank in order to gain access to the names of Americans who had participated in Los Angeles white-collar crimes by not disclosing assets as a well as tax evasion.

The prosecution of Malibu resident, John McCarthy, occurred after UBS disclosed 250 names of U.S. residents who had illegally transferred money out of the country and hid the money at the Swiss bank. The Feds filed the lawsuit in order to compel UBS to turn over the names of 52,000 Americans who were suspected of hiding in excess of $13 billion of money and other assets. Because of the number of names that are sought for possible prosecution, and the extent of possible criminal charges, it is important to hire a pre-filing Los Angeles criminal defense attorney. A top-notch criminal defense attorney will be able to counsel his client on the best way to either comply with the law, or get amnesty for previous improper acts.

The settlement reached with Swiss banking authorities resulted in UBS paying $780 million in fines and turned over 250 U.S. names and information concerning those, and other individuals that used the banks services. Based upon this information, McCarthy was charged with tax evasion and secreting assets into the Swiss bank without disclosing those assets. Prosecution of these white-collar crimes in Los Angeles and Southern California are increasing as the Feds come close to the end of an amnesty period that ends on September 23, 2009

White-collar prosecutors will aggressively seek cases against those who do not come clean before that fateful date. McCarthy faces up to 5 years in prison and $250,000 in fines, and full restitution. He will appear in a Los Angeles court on September 14, 2009.

Continue reading "Los Angeles White-Collar Crimes About to Be Charged Against UBS Clients in the United States" »

Lindsay Lohan is being investigated for grand theft of the $400,000 worth of jewels from Dior she was wearing at her Elle Magazine photo shoot. Scotland Yard has been brought in to review the facts surrounding the lost jewels. The items, a diamond necklace and diamond earrings, were reported stolen right after she wore them on June 6, 2009.

According to sources close to the investigation, Lohan admired the jewels and asked if she could keep them. The jewels were not reported stolen for two days. At that time, Central London Police were notified.

Los Angeles grand theft crimes need to be defended by a Los Angeles grand theft defense attorney. People who are charged and convicted of a grand theft could be sent to prison for 3 years if the case is a felony. After release from prison, the person will be on parole and will have to be monitored. That is why if you or someone you know is being investigated for a South California grand theft crime, they should immediately hire a theft crime defense attorney who will handle the pre-filing investigation and assist that person early on even before the case is filed.

Continue reading "Lindsay Lohan Under Investigation for Grand Theft of Jewels in England" »

Three people, who were previously arrested for Welfare Fraud in the Southern California area around Los Angeles called Antelope Valley, have not been convicted and sentenced to serious time in custody. They were represented by a Los Angeles welfare fraud defense attorney who worked very hard to prevent the individuals from spending decades in prison for stealing from the welfare fraud system. Due to the exhaustive work of the attorneys, these people will serve little to no additional time in custody.

Authorities have stated that the individuals took enough money and benefits that they were not entitled to and used some of the money to purchase a very expensive house. They were convicted of welfare fraud and Los Angeles grand theft. In most cases those that commit a Southern California welfare fraud will be charged under the California Welfare and Institutions Code Section `0980(c)(2). In addition, most cases the fraud are committed by filing false documents under oath, a perjury charge will also be filed pursuant to Penal Code Section 118

Kim Johnson, James Earl Brown and Jacqueline Hervey, were all arrested in a one of the Counties largest fraud busts in recent history. These three individuals were convicted of stealing money from the Los Angeles Housing Authority, the Social Security Administration and the Home Social Services program. In total, over $400,000 was stolen.

It has become much more prevalent for those involved in welfare fraud to also file false claims for Section 8 funds. In this case, the three were able to accumulate over $100,000 in Section 8 funds in violation of the law. The heavy in the case, Johnson, was sentenced to 4 years in prison

In most cases, welfare fraud is committed by the filing of false documents with social service agencies which are responsible for dispersing large sums of money and other benefits to welfare recipients. The recipient commonly makes false statements as to assets in his or her possession, incorrectly declares the number of children in a household, makes false statements concerning whether they have other income being earned, and in some cases, the recipient claims they are the care givers for incapacitated persons and will be paid for those services, when in fact they are no doing so, or the person does not even exist.

The statute of limitations is 5 years from either the date the crime occurred, or when the fraud was discovered. The punishment for each count can be 5 years of state prison, parole or probation, full restitution for all of the monies illegally taken, the cost of investigating the crime by the State and law enforcement, a complete bar from every being able to collect social services again, and finally, being labeled for life as a criminal.

Continue reading "Los Angeles Welfare Fraud Conviction Result in Serious Consequences" »

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.

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.

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The California Attorney General filed criminal white collar crime charges against 8 people in the Southern California county of San Bernardino. The charges include theft crimes of money laundering, conspiracy, and grand theft stemming out of Redlands, California.

The charges arose out of a scam that has plagued the mortgage industry after so many people in the City of Redlands had trouble making their house payments. Most of the victims responded to a flier which claimed to be able to help lower house payments for those who have been affected by the recent problems in the economy. The company promised to help home owners so that they would not fall into default and loose their properties in foreclosure.

Those individuals charged in the 39 count complaint most likely knew that they were under investigation. Had they hired a San Bernardino County defense attorney familiar with the officials in Redlands, it is possible that the money could have been returned to the victims and no charges would have been filed in return for full restitution. Or in the alternative, the charges would have been minimal any quite possibly no custody time would be imposed. Now all 8 people are facing decades in prison.

The home owners responded to a flier by a fake company called First Gov, also called Foreclosure Prevention Services. Some paid as much as $6,000 to the fake company to assist them in negotiating with the banks to lower their payments. The victims waited but nothing was ever done to assist them and those charged just stole the money.

Continue reading "California Attorney General Charges 8 People in White Collar Crimes in San Bernardino" »