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Justice News

Department of Justice
U.S. Attorney’s Office
Southern District of Ohio

FOR IMMEDIATE RELEASE
Friday, November 6, 2020

Local corporations enter guilty pleas related to City of Dayton demolition contracts

DAYTON – Two corporations entered guilty pleas in U.S. District Court today for conspiring to commit mail fraud.

 

Steve Rauch, Inc. and Green Star Trucking, Inc. admitted they conspired during the summer of 2014 to submit false paperwork to the City of Dayton for demolition contract payments.

 

According to court documents, Steve Rauch, Inc. accepted a contract with the city that required the company to sub-contract a set portion of the work to a certified disadvantaged business – for example a small business, a woman-owned business, etc. In this instance, the certified disadvantaged business was Green Star Trucking, Inc.

 

Steve Rauch, Inc., knowing it had not satisfied the requirements on its demolition project, contacted Green Star and asked that Green Star falsely certify it had completed and been paid for several thousand dollars’ worth of additional work on the project. Green Star agreed and signed the false paperwork that Steve Rauch, Inc. then sent to the city.

 

David M. DeVillers, United States Attorney for the Southern District of Ohio; Chris Hoffman, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Division; Ohio Attorney General Dave Yost and Ohio Auditor of State Keith Faber announced the pleas entered into today before Senior U.S. District Judge Thomas M. Rose. Assistant United States Attorney Brent G. Tabacchi is representing the United States in this case.

 

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Topic(s): 
Financial Fraud
Component(s): 
Contact: 
jennifer.thornton@usdoj.gov
Updated November 6, 2020