The ex-president of an Ohio healthcare administration firm pleaded responsible and was convicted of bank fraud in federal courtroom and has been sentenced to 42 months in jail adopted by one other three years of supervised launch.
Throughout his time as president of Blue Ash, Ohio-based Premier Healthcare Administration, which owned and operated 9 nursing care amenities in southern and central Ohio, Harold Sosna performed the biggest financial institution fraud scheme ever prosecuted within the Western District of Pennsylvania, in line with a Justice Division news release.
“Harold Sosna acquired a protracted jail sentence which is in keeping with the magnitude of his fraud scheme,” performing U.S. Lawyer Stephen Kaufman stated in a information launch. “He cheated neighborhood banks in western Pennsylvania and Ohio of an astounding sum—$59 million.”
Premier Healthcare Administration’s amenities, most of which are actually owned by Blue Ash-based CommuniCare, provided post-acute and long-term care in addition to assisted dwelling providers to numerous corporations. Every company entity and Premier Healthcare Administration subsidiary managed particular person accounts at monetary establishments together with S&T Financial institution and First Monetary Financial institution.
In a check-kiting scheme, Sosna moved funds between S&T Financial institution and First Monetary Financial institution accounts related to Premier Healthcare Administration, making it seem as if the accounts had adequate accessible funds and tricking the banks into honoring checks drawn from accounts with inadequate, illegitimate funds.
Sosna deposited a complete of 203 checks and the quantities grew bigger over time. Between Could 15, 2020 and Could 18, 2020, Sosna despatched greater than $118 million by means of S&T Financial institution and First Monetary Financial institution. S&T Financial institution misplaced $59.2 million from the scheme.
“Sosna has now been sentenced and held accountable for his greed and negligence in gaming the banking system,” Mike Nordwall, FBI Pittsburgh particular agent in cost, stated in a information launch. “The FBI investigates these issues aggressively to safeguard the monetary business. Fraud of this magnitude won’t be tolerated.”
