Following reports by a number of parties claiming that they were victims of fraud, York Regional Police filed charges against nine people. Private investors, banks and businesses filed complaints with the Ontario Securities Commission and the police, alleging fraud of over $30 million. A food company and about 80 shell companies are the targets of the investigation. The accused individuals must now focus on their criminal defense options.
According to the police, one of the shell companies acquired another business -- a food shipper -- in 2014. The shell company purchased the shipping company for $10 million and allegedly replaced the administrative system of 45 years with a system that falsified the company's financial status. Police say fraudulent and misleading documents of one of the other shell companies were then used to inflate the shipping company's value to secure more funds from investors, lenders and creditors.
Further allegations indicate that the group of accused individuals then funnelled funds of this company to their own accounts. The charges against the defendants include fraud, conspiracy to commit criminal offences and money laundering. The investigation is ongoing, and police have asked anybody with information about -- or who have had dealings with -- the businesses to contact the fraud unit.
Any Ontario resident who faces a criminal charge will likely benefit by securing legal counsel. An experienced criminal defense lawyer can assess the charges and evidence held by the Crown in consideration of the available criminal defense strategies. Whether an accused person seeks a favorable plea agreement or contests the allegations through trial, a skilled lawyer can work to achieve the best possible outcome.
Source: CBC News Toronto, "York police lay 42 charges in $30 million fraud investigation", Dec. 21, 2016
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