FOR FURTHER INFORMATION CONTACT

AUSA VICKIE E. LEDUC at 410-209-4885  

November 28, 2006

FOR IMMEDIATE RELEASE                  

http://www.usdoj.gov/usao/md                                       

 

 

JEWELRY STORE OWNER INDICTED ON MONEY LAUNDERING CHARGES

 

Jewelry Business Allegedly Used to Launder Over $300,000 in Drug Proceeds

 

BALTIMORE, Maryland - A federal grand jury has indicted Eugene Petasky, age 56, of Pikesville, Maryland on money laundering charges, announced United States Attorney for the District of Maryland Rod J. Rosenstein. The indictment was returned by the grand jury on November 15, 2006 and unsealed today upon the arrest of the defendant.

 

The seven-count indictment charges that Petasky, who owns Metro Broker Jewelers Ltd., conspired with others from 1982 to the present to disguise the proceeds of the unlawful distribution of controlled substances. In addition, the indictment alleges that Petasky accepted cash payments of $12,500 on May 24, 2006 and $23,500 on August 24, 2006, when he believed that cash to be the proceeds of unlawful activity. The indictment also alleges that Petasky caused Metro Broker Jewelers Ltd. to fail to file forms with the Internal Revenue Service required for cash transactions in excess of $10,000. The indictment also seeks the forfeiture of $336,000 and the assets of Metro Broker Jewelers Ltd., including bank accounts, inventory and cash.

 

Petasky was arrested last night and search warrants were executed at his home and business.

 

The maximum penalty for money laundering and money laundering conspiracy is 20 years in prison and a $500,000 fine; and five years in prison and a $25,000 fine for violation of currency reporting requirements. Petasky is scheduled to have an initial appearance today at 3:00 p.m.

 

An indictment is not a finding of guilt. An individual charged by indictment is presumed innocent unless and until proven guilty at some later criminal proceedings.

 

United States Attorney Rod J. Rosenstein commended the investigative work performed by the Internal Revenue Service - Criminal Investigation and Drug Enforcement Administration. Mr. Rosenstein thanked Assistant U.S. Attorneys Bryan Giblin and Robert R. Harding, who are prosecuting the case.

 


This page last modified—November 28, 2006