Pennsylvania’s gotten a good bit of attention over the years for its inordinate amount of corruption. The usual law enforcement wisdom is that hefty jail time for criminals is a good deterrent. They can’t really embezzle pension funds if they’re behind bars, right?
Well, there’s apparently a lot of sympathy among federal officials for elderly embezzlers like 81 year old Charles Poalillo, Jr. He embezzled a million dollars from his employees’ pension fund, and of course pleaded guilty. By special arrangement with the U.S. Attorney’s Office. He’ll get three years probation. And yes, he’ll have to return some of the money.
But what’s the lesson for other Pennsylvania embezzlers?
Another article: http://www.mcall.com/news/breaking/mc-pocono-resort-owner-pensions-20140902-story.html
Apparently all the money will be paid back by liquidating personal assets, but he avoided jail time for health reasons.
It is my understanding that this man, Charles Paolillo, also planned and developed one of the first planned communities (HOAs) in Monroe County, Pennsylvania and that is Penn Estates.
As far as his plea, sentencing and restitution for the pension fund crime, there is another news account that gives more information and contradicts to some degree, the poconorecord.com report. Please see, the Baltimoresun.com http://www.baltimoresun.com/news/nation-world/sns-rt-us-usa-pennsylvania-resort-20140902,0,885369.story.
From the Baltimore Sun’s account:
“The judge ordered Poalillo to pay about $300,000 and relinquish his interest in two pension plans for himself that total more than $2 million in restitution to his former employees, said his attorney, George Westervelt Jr.
Most of the money will go to reimburse 11 long-term former employees and to rebalance the pension plans, he said.
Twenty-six other former employees who did not work at the resort long will each receive $1,000 or less, he said.
The former resort owner is “embarrassed, sorry and remorseful,” Westervelt said in a written statement attributed to his client.
Poalillo never intended to harm his workers and had planned to repay the money, his attorney said.
The resort, once popular in the honeymoon vacation market, fell into disrepair and closed about five years ago.”
I can’t imagine why the local paper there would be so irresponsible about the facts of the plea agreement concerning the restitution. I am going to send a copy of the other news accounts to some of the writers for the poconorecord.com.
Here is another link from the Baltimore Suns link
Read more: http://www.chicagotribune.com/news/sns-rt-us-usa-pennsylvania-resort-20140902,0,3641420.story#ixzz3DITGIZHS
Deborah said: “Another article: http://www.mcall.com/news/breaking/mc-pocono-resort-owner-pensions-20140902-story.html
Apparently all the money will be paid back by liquidating personal assets, but he avoided jail time for health reasons.” This is what I understood as well, from the other news accounts. I wonder who will enforce this? Why would the local paper, poconorecord.com, leave out such specific and critical details on the plea agreement and pay back? The poconorecord.com news account led readers to believe he only got a $100.00 “special assessment,” and $300.000 + in pay back. They died not mention his alleged health issues either.
Well they didn’t put the guy in jail because the guy passed away on oct 13 2014. So he was too sick. Wish you would look into the case a little more than reading a headline.
Call the prosecutors office next time to get your facts right. It’s sad that people like you can pass judgement on others. I know he personally didn’t do it, he died of dementia, didn’t have the mental capacity for the last 6 years.
I hope you don’t find yourself in a compromised position.
Shaman my ass!!!!!!!
Reading the comments at the bottom of the Pocono Record article doesn’t exactly portray this guy as Prince Charming. People who worked for him made some pretty clear statements about his character.
If you know he did not do it, perhaps you should tell us who did?
Sounds a lot like Enron to me.