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May 13, 2008 9:42 pm US/Central
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3 Plead Guilty In American Airlines Scheme
CHICAGO (STNG) ―
Three men accused of swindling almost $6 million from American Airlines over several years pleaded guilty to the charges Tuesday. Two new defendants were indicted Tuesday in the scheme.
Gary M. Aumann, Donald E. Down and Thomas Alessi all entered a plea of guilty to one count of mail fraud before U.S. District Judge John W. Darrah, as part of a plea agreement, according to Assistant U.S. Attorney Brian Hayes.
Aumann, Down, Alessi admitted that beginning in 1997 until about December 2007, they devised and participated in a scheme to defraud American Airlines, according to the defendant's plea agreements.
They allegedly carried out the crime by exploiting Aumann's position as Facilities Maintenance Manager of American Airlines at O'Hare International Airport, which made him responsible for purchasing parts and services from vendors, an FBI release said.
Aumann admitted to instructing his four co-defendants to submit "bogus invoices" to American Airlines in exchange for payment, knowing none of the companies provided parts or services to AA, the release said.
Down, who owned A & D Supplies and Addison Business Supplies, submitted invoices totaling $3,654,569 to the airlines.
In a similar fashion, co-defendant Alessi opened an account at Access Federal Credit Union in the name of TR Industrials in which the airlines issued payment totaling more than $1,039,048.
Robert Rogers, 70, of Streamwood, and Robin Rogers Vargo, 38, of Palatine, were indicted Tuesday, U.S. Attorney's office spokesman Randall Samborn said.
Rogers and Vargo allegedly maintained accounts at Harris Bank held in the name of Crown Supply and Feeder Industries, and an account at LaSalle Bank in the name of Advanced Maintenance Products, through which American Airlines paid $1, 218,337 for bogus invoices, according to their indictment.
The proceeds from the scheme totaling $ 5,911,954 was split between the defendants and partially used to purchase motor vehicles, water craft, and property, the release said.
Sentencing has been set in August for Aumann, Down and Alessi. Information on court appearances for Rogers and Vargo are not yet available.
(Source: Sun-Times News Group Wire © Chicago Sun-Times 2006. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed.)
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