News and Press Releases

Pittsburgh Man Sentenced to Prison for Scheme that Defrauded Sellers, Shippers

May 6, 2013

PITTSBURGH, Pa. - On Friday, May 3, a Pittsburgh man was sentenced in federal court to 24 months imprisonment, to be followed by three years of supervised release, on his conviction of mail fraud, United States Attorney David J. Hickton announced today.

United States District Judge Arthur J. Schwab imposed the sentence on Ronald B. Halpern, 67.

According to information presented to the court, Halpern operated a business known as A & R Services, Inc., from his apartment. On behalf of A & R Services, Halpern negotiated the purchase, sale, and delivery of linens, sports-related merchandise, and novelty items. During the period April 2007 through September 2007, Halpern and others devised and executed a scheme to defraud manufacturers, wholesale distributors, customers and interstate shipping companies of money and property totaling in excess of $700,000. Halpern's fraud scheme included obtaining merchandise for resale on A & R Services behalf by applying for extensions of credit from the various manufacturers, wholesalers, and shipping companies based on false financial information. Halpern had no intention of paying for the merchandise or its shipment after receipt.

In addition to the sentence of imprisonment, Halpern was ordered to pay restitution to 13 victims in the total amount of $709,655.21.

Assistant United States Attorney Carolyn J. Bloch prosecuted this case on behalf of the government.

U.S. Attorney Hickton commended the Federal Bureau of Investigation and the Office of the United States Trustee for the investigation leading to the successful prosecution of Halpern.

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