News and Press Releases

Carter Lake Man Sentenced for Prostitution Ring, Money Laundering & Witness Tampering

FOR IMMEDIATE RELEASE
November 7, 2011

Contact: Jan Sharp, Criminal Chief
402-661-3700

United States Attorney Deborah R. Gilg announced that Richard Costanzo, 45, of Carter Lake, Iowa., was sentenced on November 4, 2011, to 96 months in prison by Chief United States District Judge Joseph F. Bataillon, in Omaha, Nebraska. Mr. Costanzo previously pled guilty to Conspiracy to commit various prostitution offenses during 1997 to 2009; three counts of Using a facility of interstate commerce to promote prostitution; one count of Transportation with intent to promote prostitution; and two counts of Money laundering.

Following a hearing on October 12 and 13, 2011, Judge Bataillon had found that Mr. Costanzoknowingly caused a minor to engage in prostitution. Evidence presented at that hearing also indicated that Mr. Costanzo had operated his РescortП business for over 10 years. Mr. Costanzo also pled guilty to witness tampering in a related case. He received a sentence of 96 months for that conviction, to run concurrently. In addition to his prison term, Mr. Costanzo will serve three years of supervised release following his release from prison, and was ordered to pay a fine of $20,000.00. Mr. Costanzo also agreed to forfeit his residence and six vehicles, all of which were used to commit the offenses or were acquired with proceeds from the offenses.

This case was investigated by the Federal Bureau of Investigation and the Internal Revenue Service.


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