The National  Memo Logo

Smart. Sharp. Funny. Fearless.

Monday, December 09, 2019 {{ new Date().getDay() }}

By Julia Terruso, The Philadelphia Inquirer

PHILADELPHIA — Reputed mobster Nicodemo Scarfo Jr. and alleged associate Salvatore Pelullo have been convicted of all charges in a white collar scheme to loot Texas-based First Plus Financial.

John Maxwell, the firm’s former CEO, and his attorney brother, William, also were convicted of the charges against them.

Three attorneys charged in the case — Donald Manno, Gary McCarthy, and David Adler — were acquitted on all counts.

The four convicted defendants were found guilty on more than 20 counts including mail, bank and wire fraud, and racketeering conspiracy.

Outside the courtroom family members of the acquitted attorneys wept and hugged while inside the convicted defendants awaited to hear forfeiture issues.

Jurors sent a note to Judge Robert Kugler in U.S. District Court in Camden Wednesday night saying they had reached a consensus but wanted to sleep on it following months of testimony related to the 114-page indictment.

They returned to court Thursday morning and reported they were ready to announce their verdicts.

During the trial, the government argued Scarfo, son of jailed Philadelphia mob boss Nicodemo “Little Nicky” Scarfo, and Pelullo used intimidation tactics to get control of the company and defraud its shareholders of $12 million between June 2007 and May 2008.

Scarfo, 47, and Pelullo, 45, both with prior convictions, could face 30 years to life in prison when they are sentenced.

The white-collar mob trial was a combination of SEC filings and bank receipts peppered with wire taps of tough guy talk and testimony from an expert on the Mafia.

The defense has said the company simply went under due to the poor economy. They say the government invoked Scarfo’s mob ties to make him and the others look guilty.

The jury’s works is not done, however. They will have to return to determine forfeiture issues.

Photo: x1klima via Flickr

Interested in national news? Sign up for our daily email newsletter!

Start your day with National Memo Newsletter

Know first.

The opinions that matter. Delivered to your inbox every morning

Michael Flynn

Former Trump administration National Security Adviser Michael Flynn has made more than his fair share of disturbing, jaw-dropping remarks-- like telling the former guy he should impose martial law to hold a new election or suggesting a Myanmar-like coup at a QAnon conference in May. But he seemed to reach a new low when he joked about using a newly gifted assault rifle to carry out an assassination in the nation's capital.

"We were trying to come up with a rifle that we thought was appropriate for a general, so we went with an old-school Woodland camouflage...one of our top-quality guns," said Jason Parker, a gun company employee who gifted the weapon to Flynn.

Keep reading... Show less

Sean Hannity

Photo by Andrea Austria / Media Matters

Reprinted with permission from Media Matters

Fox News host Sean Hannity disclosed during his radio show on Friday that he had made peace with a fellow right-wing radio host whose content mill had warned that Hannity's "feverish support of the vaccine" against the novel coronavirus betrayed his conservative audience.

Keep reading... Show less
x

Close