Charges dropped against coupon handler |
|
|
|
Published
:
Tue, 22 May 2007 20:41
|
MILWAUKEE (AP) - The federal government has agreed to drop wire-fraud charges against the nation's largest coupon handler after company officials agreed to help prosecute 11 individuals charged with defrauding grocery stores and manufacturers, including five in Wisconsin.International Outsourcing Services agreed to remove the individuals from their roles with the company and have other employees cooperate fully with the investigation, U.S. Attorney Steven Biskupic said in a statement.A spokesman for International Outsourcing Services did not immediately return a call for comment Tuesday.The defendants named in the March 6 indictment in U.S. District Court were International Outsources Services, with offices in Bloomington, Ind., and El Paso, Texas; nine of its officers; and two executives of New Jersey-based Riya Coupon Services.The scam affected manufacturers nationwide but the case was prosecuted in Milwaukee because the complaint that kicked off the investigation came from here, prosecutors said.The 25-count indictment alleged the defendants submitted fake coupons to manufacturers for payment of up to $250 million between 1997 and 2006.Biskupic said Monday that federal charges against the company could be reinstated if it fails to:-- hire new management and remove indicted individuals from their positions;-- place shareholder payments in escrow pending resolution of the case;-- make employees available for interviews and testimony;-- give prosecutors full access to its files;-- hire an independent onsite monitor to oversee company operations and finances.The five Wisconsin companies named in the indictment as affected by the scheme were Sargento Foods in Plymouth, Good Humor/Breyers Ice Cream in Green Bay, Kimberly-Clark Corp. in Neenah, LeSaffre Yeast in Milwaukee and S.C. Johnson & Sons of Racine.If convicted, the defendants face up 20 years in prison and a $250,000 fine for each of the 25 counts.Copyright 2007 Associated Press. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
|
|
|
|
Print this Story
Japanese govt fixes coupon on 600 bln yen-worth of 30-year bonds at 2.4 pct 