Gold9472
12-15-2005, 06:31 PM
Former Abramoff partner pleads guilty in Suncruz fraud case
http://www.bradenton.com/mld/bradenton/news/local/13415579.htm
CURT ANDERSON
12/15/2005
MIAMI - The former business partner of Washington lobbyist Jack Abramoff in the ill-fated purchase of the SunCruz Casinos fleet of gambling boats pleaded guilty Thursday to federal fraud and conspiracy charges involving the 2000 deal.
Adam Kidan's plea was accepted by U.S. District Judge Paul C. Huck. It will also likely require that he cooperate in the SunCruz case against Abramoff and perhaps even testify against his old partner in order to get a reduced prison sentence.
Kidan pleaded guilty to conspiracy and wire fraud. The other two felony counts in the indictment were dropped as part of his plea deal. He faces a maximum of 10 years in prison at sentencing set for March 1.
Kidan only spoke to respond to Huck's question on how he would plead. "Guilty, your honor," he said.
Abramoff and Kidan were indicted in August on charges of conspiracy, mail fraud and wire fraud for allegedly concocting a fake $23 million wire transfer to make it appear they were putting a significant portion of their own money into the $147.5 million SunCruz deal.
Lenders Foothill Capital Corp. and Citadel Equity Fund Ltd. agreed to provide $60 million in financing for the SunCruz purchase based on that false wire transfer, according to court documents.
Abramoff has claimed in court papers that Kidan was to blame for any irregularities in the deal and that he only found out about it later. For now, Abramoff remains scheduled to go to trial on Jan. 9 in Miami federal court.
"We'll have to see what impact it has, if any," said Abramoff's attorney, Neal Sonnett, regarding Kidan's plea. He declined further comment.
Kidan's guilty plea comes after another of Abramoff's former associates, Michael Scanlon, agreed to cooperate in the SunCruz case as part of a plea agreement in a separate federal case in Washington. Abramoff is being investigated in Washington for allegedly defrauding his Indian tribe clients of millions of dollars and possibly using improper influence on members of Congress.
Abramoff was a prominent Republican fundraiser and lobbyist who had close ties to former House Majority Leader Tom Delay, R-Texas, who himself faces money laundering charges in Texas. DeLay has denied any wrongdoing and is not named in the Florida case.
Kidan also is involved in the investigation of the 2001 murder of SunCruz founder Konstantinos "Gus" Boulis, who was slain in a gangland-style hit while driving his luxury car in Fort Lauderdale. The killing, about five months after Boulis sold SunCruz to Kidan and Abramoff, came during a bitter dispute over control of the company.
Police in September arrested Anthony "Big Tony" Moscatiello, 67; Anthony "Little Tony" Ferrari, 48; and James "Pudgy" Fiorillo, 28; on murder charges in Boulis' killing. Moscatiello, who worked for Kidan and allegedly has ties to New York's Gambino crime family, told police in an interview after his arrest that Kidan may have been involved, something Kidan has denied. Kidan has not been charged.
SunCruz, which operates gambling "cruises to nowhere" off Florida, fell into bankruptcy after Boulis was killed and has since emerged under new management.
http://www.bradenton.com/mld/bradenton/news/local/13415579.htm
CURT ANDERSON
12/15/2005
MIAMI - The former business partner of Washington lobbyist Jack Abramoff in the ill-fated purchase of the SunCruz Casinos fleet of gambling boats pleaded guilty Thursday to federal fraud and conspiracy charges involving the 2000 deal.
Adam Kidan's plea was accepted by U.S. District Judge Paul C. Huck. It will also likely require that he cooperate in the SunCruz case against Abramoff and perhaps even testify against his old partner in order to get a reduced prison sentence.
Kidan pleaded guilty to conspiracy and wire fraud. The other two felony counts in the indictment were dropped as part of his plea deal. He faces a maximum of 10 years in prison at sentencing set for March 1.
Kidan only spoke to respond to Huck's question on how he would plead. "Guilty, your honor," he said.
Abramoff and Kidan were indicted in August on charges of conspiracy, mail fraud and wire fraud for allegedly concocting a fake $23 million wire transfer to make it appear they were putting a significant portion of their own money into the $147.5 million SunCruz deal.
Lenders Foothill Capital Corp. and Citadel Equity Fund Ltd. agreed to provide $60 million in financing for the SunCruz purchase based on that false wire transfer, according to court documents.
Abramoff has claimed in court papers that Kidan was to blame for any irregularities in the deal and that he only found out about it later. For now, Abramoff remains scheduled to go to trial on Jan. 9 in Miami federal court.
"We'll have to see what impact it has, if any," said Abramoff's attorney, Neal Sonnett, regarding Kidan's plea. He declined further comment.
Kidan's guilty plea comes after another of Abramoff's former associates, Michael Scanlon, agreed to cooperate in the SunCruz case as part of a plea agreement in a separate federal case in Washington. Abramoff is being investigated in Washington for allegedly defrauding his Indian tribe clients of millions of dollars and possibly using improper influence on members of Congress.
Abramoff was a prominent Republican fundraiser and lobbyist who had close ties to former House Majority Leader Tom Delay, R-Texas, who himself faces money laundering charges in Texas. DeLay has denied any wrongdoing and is not named in the Florida case.
Kidan also is involved in the investigation of the 2001 murder of SunCruz founder Konstantinos "Gus" Boulis, who was slain in a gangland-style hit while driving his luxury car in Fort Lauderdale. The killing, about five months after Boulis sold SunCruz to Kidan and Abramoff, came during a bitter dispute over control of the company.
Police in September arrested Anthony "Big Tony" Moscatiello, 67; Anthony "Little Tony" Ferrari, 48; and James "Pudgy" Fiorillo, 28; on murder charges in Boulis' killing. Moscatiello, who worked for Kidan and allegedly has ties to New York's Gambino crime family, told police in an interview after his arrest that Kidan may have been involved, something Kidan has denied. Kidan has not been charged.
SunCruz, which operates gambling "cruises to nowhere" off Florida, fell into bankruptcy after Boulis was killed and has since emerged under new management.