California Man Charged with Bankruptcy Fraud
Las Vegas, Nev. – A California man has been charged with fraud for concealing assets from the IRS and other creditors in his personal bankruptcy case, announced Daniel G. Bogden, United States Attorney for the District of Nevada.
James Dennis Territo, 59, of Tiburon, Calif. was indicted on September 28, 2010, in Las Vegas, on charges of bankruptcy fraud and concealment of assets, both felony offenses. If convicted he faces up to five years in prison and a $250,000 fine on each count.
The indictment alleges that in 2005, Territo knowingly made false statements in his Chapter 7 personal bankruptcy petition by claiming that he had total assets of only $2,500, when in fact he knew that he owned and controlled a corporate bank account at Nevada First Bank in the name of Pacific Financial Services, Inc. which contained over $100,000. It is alleged that Territo hid the assets in order to defraud the IRS and other creditors.
Territo was arrested in Tiburon, Calif. on October 7, 2010. He appeared this afternoon in Las Vegas before United States Magistrate Judge George W. Foley, and pleaded not guilty to the charges and was released on a personal recognizance bond.
The case is being investigated by IRS Criminal Investigation and prosecuted by Assistant United States Attorney J. Gregory Damm.
The public is reminded that an indictment contains only charges and is not evidence of guilt. The defendant is presumed innocent and entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt.