Former Owner Of Penn Hills Lodge Sentenced For Filing False Pension Documents
The United States Attorney's Office for the Middle District Pennsylvania announced today Charles A. Poalillo, Jr., age 81, of Monroe County, Pennsylvania, was sentenced in U.S. District Court in Scranton to 3 years’ probation for filing false documents related to Penn Hills Lodge pension funds.
According to United States Attorney Peter Smith, Poalillo was the former owner of Penn Hills Lodge, Inc., a Pocono honeymoon resort located in Analomink, Pennsylvania. While he operated Penn Hills Lodge and related businesses, Poalillo borrowed approximately $1 million from two pension funds. In September 2013, he entered a guilty plea before U.S. District Court Judge Edwin J. Kosik to falsely reporting the security of these assets to the United States Department of Labor. Pursuant to a guilty plea agreement filed with the information, Poalillo agreed to attempt to make full restitution by the time of sentencing.
At today’s sentencing, attorneys for Poalillo reported to the court that his personal and business assets had been liquidated and the assets are being transferred to the United States Clerk of Court’s office for restitution to the victims. Judge Kosik cited the full restitution as well as the defendant’s health conditions as factors warranting a probationary sentence.
The United States Department of Labor’s Employee Benefits Security Administration and the Department of Labor’s Office of Inspector General, Office of Labor Racketeering and Fraud Investigations, conducted the investigation. The Monroe County District Attorney’s Office initiated the investigation and assisted the federal authorities. Prosecution is assigned to Assistant United States Attorney Michael A. Consiglio.