Fradella to be sentenced Sept 24,'14
Florida Contractor, Brian Marshall has been sentenced to serve four years in federal prison for a construction fraud scheme.
According to the FBI, Marshall from Tampa was sentenced in a Dallas, Texas court on Monday by U.S. District Judge, Barbara M. G. Lynn. His crime which he admitted to over half a year ago, was defrauding investors who decided they wanted to invest in a company that aided those in need. This company is known as Home Solutions of America Inc. (Home Solutions). Home Solutions CEO, Frank J. Fradella of Covington, Louisiana has also pleaded guilty to securities fraud, and is scheduled to be sentenced on September 24, 2014.
Marshall helped run Home Solutions as the Vice President of the company. The NASDAQ-traded Corporation was at one time based in Dallas, before it was then relocated to New Orleans, Louisiana in July 2008. The new location provided a market for the company’s business, which is to construct and restore communities. As the president of Fireline, a large subsidiary for the construction and restoration company Home Solutions, Marshall took advantage of his power to defraud those who just wanted to contribute in a company that made a difference for hurricane victims.
According to court records of his plea agreement, Marshall confessed that between December 2006 and August 15, 2007, he used his executive power to scam investors by using fraudulent revenue information that connected to a series of construction contracts in Tampa. Specifically he used Fireline to enter private companies that he admittedly owned wholly or partially. This included a $4 million contract that was designed for the construction of his personal residence.
In addition to using the company for his own personal gains, Fireline was manipulated to record revenue and income from the construction contracts that contained false information. This strategy was used to make it look as though a great work had been done, when little to no work had been done at all. This phony information was knowingly reported to public investors in Home Solutions’ 2Q 2007 10-Q.
Assistant U.S. Attorneys J. Nicholas Bunch and Andrew Wirmani had brought forth the case against Marshall. |
