News and Press Releases

Erie Copy Products VP Pleads Guilty in Fraud Scheme

FOR IMMEDIATE RELEASE
October 19, 2012

ERIE, Pa. - A resident of Erie, Pennsylvania, pleaded guilty in federal court to a charge of conspiracy to commit wire fraud, United States Attorney David J. Hickton announced today.

Mary Beth Nagorski, 51,pleaded guilty to one count before United States District Judge Sean J. McLaughlin.

In connection with the guilty plea, the court was advised that Nagorski worked as Vice President of Finance for Erie Copy Products. She conspired with CEO Frederick Zurn to submit lease documents to the banks and financing companies which listed new copy equipment. They would then either deliver used copy equipment to the customer, no equipment or deliver equipment that the customer never agreed to lease. Nagorski also forged customer signatures on lease documents to make it appear that equipment had been delivered to the customers when no such equipment was delivered or the equipment was delivered weeks or months late. Nagorski also falsified lease documents by indicating that the customers' pre-existing leases had been paid when, in fact, they had not been paid.

Judge McLaughlin scheduled sentencing for February 28, 2013 at 10:00 a.m. The law provides for a total sentence of 30 years in prison, a fine of $1,000,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offense and the criminal history, if any, of the defendant.

Pending sentencing, the court continued Nagorski on bond.

Assistant United States Attorney Christian A. Trabold is prosecuting this case on behalf of the government.

The United States Secret Service and the Internal Revenue Service, Criminal Investigation conducted the investigation that led to the prosecution of Nagorski.

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