US v. Illya Bond (Power Source)

US v. Illya Bond (Power Source)


Federal Trade Commission Criminal Case:

Most recent update 4/7/06 (See end of document)

Update 7/15/05:

US v. Illya Bond (PowerSource Corp.), Case No. 05-CR-660 (C.D. California)

Fraud Case

On July 13, 2005, a federal grand jury in Los Angeles indicted Illya Bond in connection with his conduct from 1998 through 2001 as the chief executive officer of PowerSource Corp. The indictment charges Bond with preparing sales materials and participating in telephone conference calls that contained, among other things, material misrepresentations about how long PowerSource had been in business, what prices and services PowerSource would offer to attract electricity customers, the amount of sales commissions for investments, the involvement in PowerSource of various individuals who were listed as consultants or members of PowerSource's Executive Utility Committee, and material non-disclosures about Bond's filing for bankruptcy in 1996, the chairman of PowerSource's filing for bankruptcy in 1995, and the chairman of PowerSource's bankruptcy fraud conviction in 2000. Count 1 charges Bond with conspiracy; Counts 2-8 charge Bond with mail fraud; Counts 9-11 charge Bond with wire fraud; and Count 12 charges Bond with making a false statement.

Bond is expected to make his initial appearance before a U.S. magistrate judge in Los Angeles on July 19, 2005.

Charges contained in the indictment are simply accusations, and not evidence of guilt. Evidence supporting the charges must be presented to a federal trial jury, whose duty it is to determine guilt or innocence.

Seven other individuals (Thomas P. Norton, David M. Freeman, E. Douglas Mitchell, Patricia Riley, Ronald W. Johnson, James V. Miles, and Gary Spink) connected to this scheme were previously convicted in the Southern District of Florida, where the telemarketing sales calls originated. For information about the disposition of those cases, please go to the “Closed Cases” section of this web page.

Update 8/9/05:

On August 8, 2005, United States District Judge Percy Anderson in Los Angeles set a November 2005 trial date. Jury selection will begin on November 22, 2005.  The trial is expected to last three to four weeks.  Judge Anderson's courtroom is located in the Federal Building at 312 North Spring Street.

Update 9/30/05:

The trial has been rescheduled for January 3, 2006. The trial is expected to last several weeks. The trial will take place in Los Angeles, California, before Judge Percy Anderson, in the Federal Building at 312 North Spring Street, Courtroom 15.

Update 11/22/05:

On November 21, 2005, the Court moved the trial date to January 10, 2006.

Update 1/26/06:

On January 23, 2006, Illya Bond was found guilty after a two-week jury trial during which the government called 18 witnesses and the defense called five witnesses. See US Postal Inspection Service Press Release. Bond, the former chief executive officer of PowerSource Corporation, was found guilty on all 12 counts: seven counts of mail fraud, three counts of wire fraud, one count of conspiracy, and one count of making a false statement. Judge Percy Anderson scheduled sentencing for 8:30 a.m. on April 3, 2006, in the Federal Courthouse at 312 North Spring Street, Courtroom 15. Judge Anderson ordered Mr. Bond be confined to home detention, with electronic monitoring, until the date of sentencing.

Update 2/7/06:

On January 31, 2006, Judge Anderson ordered that Illya Bond be detained in prison pending sentencing. His sentencing date remains April 3, 2006, at 8:30 a.m.

Update 4/7/2006:

On March 31, 2006, Judge Anderson granted defense counsel's request to move the sentencing to a later date due to unavailability of defense counsel. A new sentencing date has not yet been set.

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Topic: 
Consumer Protection
Component: 
Civil Division
Updated October 23, 2014