Department of Justice seal U.S. Department of Justice

Debra W. Yang
United States Attorney
Central District of California


United States Courthouse
312 North Spring Street
Los Angeles, California 90012
PRESS RELEASE

FOR IMMEDIATE RELEASE
May 4, 2005
For Information, Contact Public Affairs
Thom Mrozek (213) 894-6947

FORMER PENSION FUND CONSULTANT SENTENCED


Los Angeles, CA - A consultant to a labor unionís pension fund will spend four months in federal prison and four months on home detention after being sentenced for failing to report as income a kickback he received after arranging for the pension fund to loan millions to a real estate developer.

Robert A. Ferrante, 55, of Newport Beach, was sentenced Monday afternoon by United States District Judge Alicemarie H. Stotler in Santa Ana. In addition to the eight months of detention, Judge Stotler imposed a fine of $10,000 and ordered Ferrante to pay $243,945 in restitution to the Southern California, Arizona and Nevada Glaziers, Architectural Metal and Glassworkers Pension Plan.

Ferrante pleaded guilty in 2002 to one count of a accepting a gratuity and a second count of filing a false income tax return that failed to report the gratuity. By pleading guilty, Ferrante admitted that he accepted a kickback of $243,945 from a real estate developer for arranging for the pension plan to loan the developer $7 million while Ferrante was employed by the Pension Plan as a real estate consultant. Ferrante did not report the income on his federal income tax returns.

This case is the product of an investigation by the United States Department of Labor, Employee Benefits Security Administration.

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Release No. 05-069

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