Oakdale Man Indicted on Fraud Charges

PITTSBURGH – An Allegheny County resident has been indicted by a federal grand jury in Pittsburgh on charges of mail and wire fraud, United States Attorney David J. Hickton announced today.

The five-count indictment named Thomas Slack, 66, of Oakdale, Pa., as the sole defendant.

According to the indictment presented to the court, Slack engaged in a scheme to fraudulently obtain money from prospective home builders seeking financing through loan programs administered through the United States Department of Agriculture ("USDA") Rural Development offices.  Slack was a member and director of the Great Falls Development Group, a company which falsely purported to be an established residential real estate developer and builder.  Slack falsely represented to prospective home builders and investors that he was associated with the USDA's Rural Development loan programs and that he could underwrite and pre-qualify applicants for the loan programs.  Slack's false representations induced prospective home builders and investors to send money to him, believing that he was actively engaged in building homes and securing financing for the homes through the USDA, when, in fact, he was not.

The law provides for a maximum total sentence of 20 years in prison, a fine of $250,000, or both for each count.  Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant. 

Assistant United States Attorney Robert S. Cessar is prosecuting this case on behalf of the government.

The United States Department of Agriculture Office of the Inspector General conducted the investigation leading to the indictment in this case.

An indictment is an accusation.  A defendant is presumed innocent unless and until proven guilty.