NEWSFLASH: ED OKUN INDICTED AND ARRESTED ON CHARGES OF MAIL FRAUD, MONEY LAUNDERING, AND FALSE STATEMENTS

FoxBusiness.com published this article March 18, 2008

Reuters.com published this article March 18, 2008

Dateline March 18, 2008 2:53 PST

Ed Okun embattled scam artist of the 1031 Tax Group fiasco has been arrested by Chuck Rosenberg US Attorney for the Eastern District of Virginia on 3 counts: Mail Fraud in connection with the 1031 Tax Group dealings, Cash Smuggling tied to a $15,000 Fed Ex delivery to the Bahamas, and the making of a False Declaration. If convicted, Okun faces up to 30 years in prison as well as substantial fines.

The entire story can be obtained through our friend Gerald McHale’s US Trustee website:

The Sources

href=”http://trustee1031taxgroup.com/component/option,com_docman/Itemid,46/”>http://trustee1031taxgroup.com/component/option,com_docman/Itemid,46/

This link provides two documents which outline Okun’s charges as well as a restraining order filed against Okun with a judgment against Okun for $132,015,000

href=”http://www.usdoj.gov/opa/pr/2008/March/08_crm_215.html”>http://www.usdoj.gov/opa/pr/2008/March/08_crm_215.html

The above link is to the breaking story on the United States Justice Departement website. Suffice to say that this story is for real

The Tips

Just 15 minutes ago deansguide received a call from the Miami “mystery caller” who tipped us to information on Ed Okun last summer; simultaneously we received two emails from long time supporter, and one of the 350 Okun “Train Wreck” victims, Elizabeth Callanan. Although the delivery was quite different, the message was quite clear: Ed Okun is being criminally charged.

Information will be provided as further details become known. But for now as this ongoing saga evolves, Ed Okun is behind bars–something most people thought would never happen in this case.

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11 thoughts on “NEWSFLASH: ED OKUN INDICTED AND ARRESTED ON CHARGES OF MAIL FRAUD, MONEY LAUNDERING, AND FALSE STATEMENTS

  1. John,

    Pulitzer what? The only prize I have won is an occasional phone call from a mysterious tipster who sounds a bit like my Italian uncle the day after a heavy cigar brown alcohol session.

    Thanks for the kind words. It has been nearly a year of following the story and this seems like a bit of a culmination to what is going to happen.

    Hopefully people will recover some semblance of monetary payback–otherwise we are looking at an utter and complete disaster the likes of which our government has failed to police in the past.

  2. Ok, I just read the old article. “The caller claimed, without siting any evidence, that JPS Capital Partners “will not fund” the outstanding 1031 debts that Ed Okun’s 1031 Tax Group is responsible to fund.” That’s no big deal. Hell, we were saying that from the beginning. Infact if you read the many objections to the plan that went on for months, a lot of us thought that it was just a game for Okun to get a release and JPS to trick us into a $10M cancellation fee. What if JPS and Okun were connected somehow and it was his master minded plan to get $10M back to himself out of the bankruptcy? Mystery caller doesn’t know anything. That was my guess MONTHS earlier.

    One thing that I don’t get is why Ed needed $15K in Paradise Island. They take credit cards there just like anyplace. He stated in his email to the employee that ‘they don’t like credit cards over here’. What? That’s a gambling island, too. Why was he so desperate for cash? That has me a little worried.

  3. Dear O,

    Don’t injure yourself patting yourself on the back because that article was nothing more than a follow up on information so that victims did not miss anything. The tip I reference was both real and had nothing to do with the article,it was timely, and it will remain unspoken. The tip is not the point here and I think you are missing the point.

    1. Joel Shapiro principle at JPS contacted me directly regarding one of my articles. His wish was to “set straight” the idea that JPS was going forward with funding.

    Guess what? that never happened according to US Trustee Gerald McHale who also contacted me. McHale gave me permission to write an article quoting him with a direct challenge to Shapiro and JPS to come up with something.

    2. Forbes Associate editor Mike Maiello contacted me asking to trade information. Mike clued me into the shady past of some of the forces behind JPS. If you know about this deal great–if not follow this link to Michael Maiello’s Forbes.com article titled “Flight From The Phoenix”
    http://www.forbes.com/forbes/2006/0605/198.html

    If you already know about this story then you are a smart guy–if you don’t you just learned something that has been out in the public since 2006.

    3. What is your stake in this deal? Why would Okun’s desperation for cash have you “. . . a little worried.”?

    As for all the guesses and sleuthing? What does it really matter now? Okun may not spend much time in jail but that is not the biggest issue in this case.

    The biggest issue is that like Okun’s attorney Rosenberg said he was arrested while eating breakfast with his 2yr old child watching. The damage to the victims is the real story here. How many 2yr old children are sitting around tables in countless households watching their parent(s) go crazy after losing every penny they earned over a lifetime?

    If you have answers to that one and why this is not all about the victims clue me in please.

  4. uhhh.. . I’m a victim, oh by the way, with a 2 yr old, too. My loss is huge. My gain, on the other hand, is a lifetime of stories I can tell about our pathetic legal system, Hedge fund bad investments, corrupt organizations, scared gutless employees transfering money to a crook, etc. My ‘worry’ over Okun’s cash desperation is that he gambled away millions. But just a need to try to make sense on how someone can hide over $100M.
    And just the point about the “Flight from Phoenix”. . .that is why the committee should not have been bamboozled into thinking that JPS would fund and tipster is not so smart. We were screaming that for months.
    I just want to see someone do the right thing. If someone has information, you wish someone, anyone, would be decent enough to come clean or help. Instead, they just hide. Good luck.

  5. O,

    I don’t know how long you have read this blog or if you understand the number of articles (100+) that have been both written here and published on mass media sites such as Reuters, Foxbusiness, and Nielsen.

    I don’t know if you understand that this blog has been the one and only blog source of ANY KIND OF INFORMATION in this case. Go look for a Okun or 1031 Exchange blog that has no agenda, provides information without bias, and please find a blog that champions this cause for the victims in the same manner–I would love to trade notes with that person!

    I don’t know if you read the fact that I spoke personally with Shapiro of JPS, McHale the US Trustee, a Forbes editor, and other news media people about this case.

    Still yet I don’t know if you understand that as part of providing a “free” source of information to the 350 Victims, I have received thanks from 18 of the victims, support from legitimate QI’s, and I have featured one victim, Elizabeth Callanan, who has been a very good source of information.

    I don’t know if you even care–but I do care. That is why I write about this mess. I DO NOT GET PAID ONE F_CKIN RED CENT for anything pertaining to this blog.

    So if you have anything worth adding other than your guesses then please do add something helpful to the cause. Like Jerry used to say “It’s all about the kids.”

    It’s all about the restitution in this case.

  6. I heaven’t read much here but have been following court proceedings on line that Kurtzman Carson Consultants had on their site. Around January they quit posting anything new.Forgive me if you have commented on this before, but are they no longer involved? I (only) lost 15k in a 1031 exchange with the group from Colorado. I can’t pay an attorney to try and get that back, it would cost more than I’d ever get. I did like to read all the court documents. I should have went to law school, looks like the attorneys are the only ones making any money here ( can’t blame them).

  7. Randy,

    I am unfamiliar with their role in the Ed Okun mess. Without a scorecard it can be difficult to see the players and their representatives.

    You should check into the US Trustee site I have listed for Gerald McHale the man responsible for trying to recover monies for the victims.

    I am not sure you would need an attorney; but if you have not filed for recovery they may be something to look into just in case.

    This is all assuming you were victimized by one of the 1031 Tax Group businesses controlled by Okun.

    I hope you find a solution.

    dean

  8. Pingback: How Has Blogging Changed Your Life? « DeansGuide

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