LOCAL REAL ESTATE DEVELOPER INDICTED ON CHARGES OF BANKRUPTCY FRAUD, PERJURY, MONEY LAUNDERING
THURSDAY JANUARY 20, 2011
Public Affairs Officer
CINCINNATI – Michael R. Macke, 61, of Cincinnati has been charged with bankruptcy fraud, perjury, and money laundering alleged in a 10-count indictment returned by a federal grand jury here.
Carter M. Stewart, United States Attorney for the Southern District of Ohio, Jose A. Gonzalez, Special Agent in Charge, Internal Revenue Service Criminal Investigation, Keith L. Bennett, Special Agent in Charge, Federal Bureau of Investigation, Dugan Wong, Assistant Inspector in Charge, U.S. Postal Inspection Service, and Daniel M. McDermott, United States Trustee, Region 9, (Ohio/Michigan); announced the indictment returned late yesterday.
The indictment alleges that Macke, a golf course and real estate developer in the Cincinnati area, transferred approximately $471,462.70 in funds in May 2007, prior to filing bankruptcy in November 2007. In his bankruptcy filing, he sought discharge of $35,656,197.42 in debts owed to his creditors. The indictment charges Macke engaged in a scheme to defraud his creditors and the bankruptcy court by transferring the money to purchase Elks Run Golf Course in Batavia, the ownership of which was then transferred into a trust he established for the benefit of his wife. The indictment charges that Macke made these transfers in contemplation of bankruptcy, and that he failed to disclose the transfers or the trust in his bankruptcy case.
The indictment further charges Macke with lying under oath at a meeting of creditors in his bankruptcy case by denying knowledge of the trust and other matters relating to the Elks Run Golf Course purchase.
The indictment charges Macke with four counts of bankruptcy fraud. Each of those crimes is punishable by up to five years in prison, a fine of up to $250,000 or twice the gain or loss, and three years of supervised release. The indictment also charges Macke with five counts of money laundering, each of which is punishable by up to ten years in prison, a fine of up to $250,000 or twice the gain or loss, and three years of supervised release.
The indictment also seeks forfeiture of $471,462.70 which represents the value of the fraudulent transfers.
Macke will be summoned to appear before U.S. Magistrate Judge Stephanie K. Bowman for an initial appearance on Wednesday, January 27, 2011 at 1:30 p.m.
Stewart commended the cooperative investigation by FBI and IRS agents and Postal Inspectors, as well as Assistant U.S. Attorney Anne L. Porter and Special Assistant U.S. Attorney Dean Wyman, who are prosecuting the case.
An indictment merely contains allegations, and the defendant is presumed innocent unless proven guilty in a court of law.