{"id":52066,"date":"2023-02-01T04:44:17","date_gmt":"2023-02-01T12:44:17","guid":{"rendered":"https:\/\/cjnotebook.com\/?p=52066"},"modified":"2023-02-01T04:44:17","modified_gmt":"2023-02-01T12:44:17","slug":"man-charged-with-mail-fraud-for-alleged-5-8-million-scheme-to-defraud-produce-distributor","status":"publish","type":"post","link":"https:\/\/cjnotebook.com\/?p=52066","title":{"rendered":"Man Charged with Mail Fraud For Alleged $5.8 Million Scheme to Defraud Produce Distributor"},"content":{"rendered":"<p class=\"yiv7996437141MsoNormal\" style=\"text-align: center;\"><strong><span style=\"font-size: 24px;\">\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0<i>RIVERSIDE, California<\/i><\/span><\/strong><\/p>\n<p class=\"yiv7996437141MsoNormal\" style=\"text-align: center;\"><span style=\"font-size: 24px;\"> <img loading=\"lazy\" decoding=\"async\" class=\"size-medium wp-image-14844 alignleft\" src=\"https:\/\/cjnotebook.com\/wp-content\/uploads\/2015\/08\/FBI-Logo-300x225.jpg\" alt=\"\" width=\"300\" height=\"225\" srcset=\"https:\/\/cjnotebook.com\/wp-content\/uploads\/2015\/08\/FBI-Logo-300x225.jpg 300w, https:\/\/cjnotebook.com\/wp-content\/uploads\/2015\/08\/FBI-Logo-45x35.jpg 45w, https:\/\/cjnotebook.com\/wp-content\/uploads\/2015\/08\/FBI-Logo.jpg 640w\" sizes=\"auto, (max-width: 300px) 100vw, 300px\" \/>A grand jury indictment alleges that a Utah man participated in a long-running scheme in which he sent fake invoices on behalf of a shell company, officials announced this week.<\/span><\/p>\n<p class=\"yiv7996437141MsoNormal\"><span style=\"font-size: 24px;\"> \u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 Kevin Scott Horton allegedly sent the fake invoices to defraud an organic produce distributor out of $5.8 million, according to authorities.<\/span><\/p>\n<p class=\"yiv7996437141MsoNormal\" style=\"text-align: center;\"><span style=\"font-size: 24px;\">Horton, 55, of Saratoga Springs, Utah, is charged with seven counts of mail fraud. He plead not guilty to the charges Tuesday in Riverside federal court.<\/span><\/p>\n<p class=\"yiv7996437141MsoNormal\"><span style=\"font-size: 24px;\">\u00a0\u00a0\u00a0\u00a0 According to the indictment and other court documents, from February 2000 to April 2018, Horton schemed with Tony Anhtuan Rawlings, 56, of Garden Grove, California.<\/span><\/p>\n<p class=\"yiv7996437141MsoNormal\" style=\"text-align: center;\"><span style=\"font-size: 24px;\"><img loading=\"lazy\" decoding=\"async\" class=\"size-medium wp-image-52067 alignright\" src=\"https:\/\/cjnotebook.com\/wp-content\/uploads\/2023\/02\/752153-300x205.jpg\" alt=\"vegetables, basket, vegetable basket\" width=\"300\" height=\"205\" srcset=\"https:\/\/cjnotebook.com\/wp-content\/uploads\/2023\/02\/752153-300x205.jpg 300w, https:\/\/cjnotebook.com\/wp-content\/uploads\/2023\/02\/752153-1024x701.jpg 1024w, https:\/\/cjnotebook.com\/wp-content\/uploads\/2023\/02\/752153-768x526.jpg 768w, https:\/\/cjnotebook.com\/wp-content\/uploads\/2023\/02\/752153.jpg 1280w\" sizes=\"auto, (max-width: 300px) 100vw, 300px\" \/>Rawlings is the management information systems director at Melissa\u2019s World Variety Produce Inc., a Vernon-based company. Horton allegedly defrauded Melissa\u2019s World out of its money through the approval of payment of invoices for fictitious services.<\/span><\/p>\n<p class=\"yiv7996437141MsoNormal\" style=\"text-align: center;\"><span style=\"font-size: 24px;\">\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 In February 2000, Horton allegedly created a shell company called Creative Network Solutions (CNS). <\/span><\/p>\n<p class=\"yiv7996437141MsoNormal\"><span style=\"font-size: 24px;\">At Rawlings\u2019s instruction, Horton allegedly created one or two fictitious invoices per month, in which CNS billed Melissa\u2019s for services that CNS did not provide.<\/span><\/p>\n<p class=\"yiv7996437141MsoNormal\"><span style=\"font-size: 24px;\">\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 <img loading=\"lazy\" decoding=\"async\" class=\" wp-image-22946 alignleft\" src=\"https:\/\/cjnotebook.com\/wp-content\/uploads\/2016\/04\/Courtroom-300x169.png\" alt=\"\" width=\"389\" height=\"219\" srcset=\"https:\/\/cjnotebook.com\/wp-content\/uploads\/2016\/04\/Courtroom-300x169.png 300w, https:\/\/cjnotebook.com\/wp-content\/uploads\/2016\/04\/Courtroom.png 650w\" sizes=\"auto, (max-width: 389px) 100vw, 389px\" \/> Horton provided the fictitious invoices to Rawlings, who approved them and then provided them to a Melissa\u2019s executive, who ensured that Melissa\u2019s World paid CNS the amounts listed on the sham invoices, the indictment alleges.<\/span><\/p>\n<p class=\"yiv7996437141MsoNormal\"><span style=\"font-size: 24px;\">\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 Rawlings falsely represented to Melissa\u2019s executives that CNS provided information technology and information systems services to Melissa\u2019s. Horton had no background in computers, and CNS never provided services to Melissa\u2019s or any other company, the indictment states.<\/span><\/p>\n<p class=\"yiv7996437141MsoNormal\" style=\"text-align: center;\"><span style=\"font-size: 24px;\">\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 Horton, along with Rawlings, allegedly caused Melissa\u2019s to send CNS payment through checks mailed through the United States Postal Service, according to the indictment.<\/span><\/p>\n<p class=\"yiv7996437141MsoNormal\" style=\"text-align: center;\"><span style=\"font-size: 24px;\"><img loading=\"lazy\" decoding=\"async\" class=\"size-medium wp-image-52069 alignleft\" src=\"https:\/\/cjnotebook.com\/wp-content\/uploads\/2023\/02\/0rhxkbcvqae-300x235.jpg\" alt=\"\" width=\"300\" height=\"235\" srcset=\"https:\/\/cjnotebook.com\/wp-content\/uploads\/2023\/02\/0rhxkbcvqae-300x235.jpg 300w, https:\/\/cjnotebook.com\/wp-content\/uploads\/2023\/02\/0rhxkbcvqae-1024x803.jpg 1024w, https:\/\/cjnotebook.com\/wp-content\/uploads\/2023\/02\/0rhxkbcvqae-768x602.jpg 768w, https:\/\/cjnotebook.com\/wp-content\/uploads\/2023\/02\/0rhxkbcvqae.jpg 1531w\" sizes=\"auto, (max-width: 300px) 100vw, 300px\" \/>Horton allegedly deposited the checks he received through the scheme into a bank account that he controlled. Horton allegedly provided Rawlings a portion of the money that Melissa\u2019s World paid to CNS in the form of checks sent via U.S. Mail to an address in Irvine that Rawlings controlled.<\/span><\/p>\n<p class=\"yiv7996437141MsoNormal\"><span style=\"font-size: 24px;\">\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 In total, Horton, along with Rawlings, allegedly caused Melissa\u2019s to pay CNS approximately $5.8 million because of the fictitious invoices.<\/span><\/p>\n<p class=\"yiv7996437141MsoNormal\"><span style=\"font-size: 24px;\">\u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0<\/span><span style=\"font-size: 24px;\"><i>\u00a0<\/i>If convicted of all charges, Horton faces up to 20 years in federal prison for each mail fraud count.<\/span><\/p>\n<p class=\"yiv7996437141MsoNormal\"><span style=\"font-size: 24px;\">\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 Rawlings pleaded guilty in August 2022 to one count of mail fraud. His sentencing hearing is scheduled for June 1.<\/span><\/p>\n<p class=\"yiv7996437141MsoNormal\"><span style=\"font-size: 24px;\">\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 The FBI investigated this matter.<b><\/b><\/span><\/p>\n<p class=\"yiv7996437141MsoNormal\"><span style=\"font-size: 24px;\"><b>\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0<\/b>Assistant U.S. Attorney Eli A. Alcaraz of the Riverside Branch Office is prosecuting this case.<\/span><\/p>\n<p class=\"yiv7996437141MsoNormal\">\n","protected":false},"excerpt":{"rendered":"<p>\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0RIVERSIDE, California A grand jury indictment alleges that a Utah man participated in a long-running scheme in which he sent fake invoices on behalf of a shell company, officials announced this week&#8230;.<\/p>\n","protected":false},"author":1,"featured_media":52068,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[473,3600],"class_list":["post-52066","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-fbi","tag-fraud","tag-melissas-world"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v28.6 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Man Charged with Mail Fraud For Alleged 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