Federal Jury Convicts Janice D. Rey Of Conspiracy, Wire Fraud, Money Laundering And Tax Evasion
St. Thomas, USVI - After a two-day trial in District Court on St. Thomas, a federal jury found
JANICE D. REY, guilty on a 56 count indictment charging conspiracy, wire fraud, various federal
money laundering offenses and tax evasion, announced United States Attorney Ronald W. Sharpe, and
IRS Special Agent in Charge Jose A. Gonzalez. Rey was found guilty of one count of conspiracy, eight
counts of wire fraud, 43 counts of money laundering and four counts of tax evasion.
According to the evidence presented at trial, Rey and co-conspirator Devon McLean organized
Paramount Group, LLC, and opened a bank account for the partnership in Nevada. Rey opened a store
front location in St. Thomas called Rey Financial, which was used by Rey to meet with potential
investors. Rey made false material representations and material factual omissions directly to potential
investors in order to induce them to invest with Paramount Group, including that investments were safe, that Paramount Group is a part of Halliburton, that investors were investing in “platform investments”
and that they would double their money in less than a year.
The defendant faces a maximum statutory penalty of 20 years imprisonment and a $500,000 fine,
or $3,140,778.33, whichever is greater. The statutory penalty for tax evasion under local law is a fine
of not more than $10,000 or imprisonment not more than 5 years, or both. Devon McLean pled guilty
on March 5, 2013, to wire fraud conspiracy and is scheduled to be sentenced on June 6, 2013.
The case was investigated by the IRS Criminal Investigation. It was prosecuted by Assistant
U.S. Attorneys Kim L. Chisholm and Everard Potter.