United States Attorney's Office District of Connecticut
Press Release

OLD SAYBROOK WOMAN INDICTED FOR WIRE FRAUD AND TAX OFFENSES

United States Attorney Kevin J. O’Connor announced that a federal grand jury sitting in Hartford today returned an Indictment against NORA R. CHAMBERLAIN, age 48, of 120 Sea Lane, Old Saybrook, Connecticut, on a charges of wire fraud, making and subscribing false tax returns and failure to file a tax return.

The Indictment alleges that from January 2000 until January 2004, CHAMBERLAIN induced investors to provide her with money by falsely representing that she was a preferred bidder at estate sales, and that, as a preferred bidder, she could obtain items at prices substantially below market value. In fact, she would not purchase items from the estate sales, as promised, and, indeed, the estate sales did not exist. The Indictment further alleges that CHAMBERLAIN induced other individuals to give her money by falsely representing that she would invest the money on behalf of the investors in an account, in the names of herself and her husband, at an annual rate of return of 18 percent. However, it is alleged she did not invest the money in the investment account as promised, and, in fact, the investment account did not exist.

The Indictment alleges that pursuant to the schemes CHAMBERLAIN fraudulently caused more than 40 individuals to give her over $600,000, which she failed to use and/or invest as promised, but were converted to her own use and enrichment.

The Indictment also alleges that CHAMBERLAIN filed false tax returns for the 2001 and 2002 tax years, and that she failed to file tax return for 2003 as required.

If convicted CHAMBERLAIN faces up to thirty years imprisonment and a fine of $1,000,000 on each of the four wire fraud counts, up to three years imprisonment and a fine of $100,000 on each of the two counts for making a false tax return, and up to one year imprisonment and a fine of $25,000 for failure to file a return.

United States Attorney Kevin J. O’Connor stated that “this office is committed to ensuring that Connecticut citizens are not misled or victimized by fraudulent investment schemes.”

U.S. Attorney O’Connor stressed that an indictment is only a charge and is not evidence of guilt. The defendant is entitled to a fair trial at which it is the government's burden to prove guilt beyond a reasonable doubt.

The case was investigated by Special Agents of the Internal Revenue Service - Criminal Investigation, the Federal Bureau of Investigation and the United States Postal Service, and is being prosecuted by Assistant United States Attorney Thomas V. Daily.

CONTACT:

U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722
thomas.carson@usdoj.gov