Long Island Business Owner Admits Role in Scheme to Defraud Illinois Company
John H. Durham, United States Attorney for the District of Connecticut, announced that KENNETH J. PEDROLI, 60, of Stony Brook, New York, pleaded guilty today before U.S. District Judge Janet C. Hall in New Haven to one count of conspiracy to commit mail and wire fraud related to a scheme to defraud an Illinois-based company.
According to court documents and statements made in court, between approximately February 2015 and December 2018, Pedroli conspired with an employee of an Illinois-based company (“Company A”) to defraud Company A through a scheme involving purchases of electronic components that Pedroli made from Company A for a business he operated in Islandia, New York. As part of the scheme, Pedroli was instructed by the employee of Company A to place his orders and list prices at a fraction of Company A’s published prices. After Pedroli’s orders were submitted to Company A at the discounted prices, the products were shipped from Company A to Pedroli. Pedroli was instructed by the Company A employee to pay only a portion of the invoiced price and to make the payments directly to the employee, which Pedroli did.
The government contends that Company A was defrauded of more than $3 million through this scheme.
Judge Hall scheduled sentencing for July 22, 2019, at which time Pedroli faces a maximum term of imprisonment of 20 years.
Pedroli is released on a $500,000 bond pending sentencing.
This investigation is being conducted by the Federal Bureau of Investigation. The case is being prosecuted by Assistant U.S. Attorney Ray Miller.