Pre-Filing Investigations

Published on: February 12, 2013

At Least Your Los Angeles Petty Theft Charges Won’t Results in Your Public Execution (Hopefully!)

As someone who was recently been arrested for petty theft in Los Angeles, you’re feeling pretty depressed and terrified. Will you go to jail? Will you be stuck with a criminal record? Will you get fired from your job or get expelled from school? And so forth.

These fears are all reasonable. If you take a less than strategic approach to your petty theft defense, pretty serious punishments can await you. Fortunately, however, you were arrested for petty theft in Southern California and not in Iran.

According to a recent news report, two men who robbed a man with a machete at a market were just publicly hanged for their crime in front of a huge crowd. An Iranian judge accused Alireza Mafiha and Mohammed Ali Sarvari of “waging a war against God” and sentenced them to hang in public. Amnesty International says that Iran executes more people, annually, than almost any country on Earth. Although capital punishment is legal in the Golden State, it’s usually reserved for extreme situations, i.e. for people who commit extremely violent crimes, such as murder. But it’s never, ever used to deal with a petty theft.

Published on: February 8, 2013

It’s Not That Your Los Angeles Petty Theft Arrest, Itself, Is the Problem, Necessarily…

by Michael Kraut

You were recently arrested for a petty theft crime in Los Angeles. Maybe you stole a bottle of laundry detergent or shoplifted a designer shirt on Melrose. Or maybe you just know someone who stands accused of such a crime.

In either case, you’re conflicted. You know you’re in trouble. You want your legal problems to go away ASAP. On the other hand, you didn’t kill anyone or commit a more serious Southern California white-collar crime or violent crime. So, hopefully, you’ll be able to dispatch with this frustrating chapter in your life and move on.

To get clarity about what this arrest means for you, you need to start asking yourself some tough questions.

Published on: January 3, 2013

Getting Beyond Your Holiday Los Angeles Petty Theft Charges

by Michael Kraut

Perhaps you and your frat buddies at UCLA got arrested for petty theft in Los Angeles after a crazy off-campus Christmas party. Or maybe the cops caught you stealing small items from a mall to “re-gift” to friends and family members.

In any case, you now face a misdemeanor charge — as well as other criminal counts, if you mixed up your petty theft with assault, robbery, or misbehavior towards a police officer.

It’s a New Year. You’d like a fresh start. You’d love to refocus on how to move your life forward in a positive direction — to make good on your 2013 resolutions.

Published on: January 1, 2013

$11 Million Guilty Verdict in Major Los Angeles Medicare Fraud Case

by Michael Kraut

Last Monday, Charles Agbu, a 58-year pastor based in Carson, pled guilty to an $11 million Los Angeles Medicare fraud scam.

The Department of Justice accused Agbu of masterminding the reimbursement fraud. Agbu faces the specter of a 20-year prison sentence on top of a fine of $500,000. He will be sentenced in May.

Agbu’s company, Bonfee Inc., marketed itself as a medical equipment supply business. In reality, Bonfee paid people to offer beneficiaries power wheelchairs in exchange for their Medicare information. Once Agbu and his crew had this info, they billed Medicare for the wheelchairs but never delivered them to clients. Bonfee and Agbu also falsified prescriptions and other documents to bill Medicare illegally. Agbu paid his co-conspirators, including Dr. Juan Tomas Van Putten, hundreds of dollars for batch orders of these fake prescriptions.

Published on: December 26, 2012

Los Angeles Lewd Conduct Charges Lead to Spate of Lawsuits against L.A. Unified

by Michael Kraut

Most Los Angeles lewd conduct charges, fortunately, are relatively “small scale.” They might involve one person committing an alleged sex crime against another or a few people.

However, there are times when certain crimes lead to a kind of “mass harm” and draw the attention of both community and the media. One of those cases involved some insane allegations against 61-year-old Mark Berndt, a former teacher at Miramonte Elementary School, who faces 23 counts of Los Angeles lewd conduct. He’s currently being held in jail on a bail of $23 million.

The allegations against Berndt are almost too hard to believe. Here is a direct quote from Reuters about what he faces: “He has been accused of spoon feeding his semen to blindfolded children as part of what he allegedly called a tasting game. He is also accused of putting cockroaches on children’s faces and feeding them semen tainted cookies at the school.”

Published on: December 24, 2012

Can New Antifraud Computer System Stop Medicare Fraud in Los Angeles and Beyond?

by Michael Kraut

The Federal Government, under the Obama administration, has made a huge push to crack down on Medicare fraud in Los Angeles and beyond.

We’ve covered many relevant stories over the past few years, citing probably dozens of examples of big time busts. We’ve also discussed some of the scary consequences for the perpetrators of these alleged offenses. The typical way the government goes after fraud is known as “pay and chase.” Investigators try to identify fraudulent payments from the system, track down the pilfered money, and then punish perpetrators and force restitution, if possible.

This way of preventing fraud is somewhat wasteful, and it is certainly very punitive.

Published on: December 19, 2012

Petty Thefts in Los Angeles Spike During Xmas. Santa (and the Police) Are Watching…

by Michael Kraut

Statistical analyses of petty theft in Los Angeles paint a pretty grim holiday picture.

According to the National Retail Federation, 95% of all retail stores (that’s 19 out of every 20 stores) falls victim to petty theft during the Yuletide season: that’s a spike of 30% over normal crime rates.

The diversity of petty theft schemes is literally too large to catalog. Some cases are relatively simple: A thief might snatch a purse left in a shopping cart unattended or take a “five finger discount” at a candy shop or convenience store. Some items are more prone to be stolen than others. Games, shoes and apparel tend to be big targets. Sometimes “odd ball” items can also be targeted. For instance, as we covered earlier this year, Tide detergent apparently is a commonly pilfered item. Thieves steal the Tide and then resell it on the black market.

Published on: December 17, 2012

Biggest Case of Medicare Fraud in the History of the World?

by Michael Kraut

Blockbuster charges face DaVita Inc., one of the largest dialysis companies in United States, including charges of Medicare fraud in Los Angeles and beyond.

DaVita is a $7 billion company that operates 2,000 dialysis clinics in the United States. The CEO alone receives $15 million annually, much of that paid for ultimately by taxpayers. The Denver-based company may have engaged in a massively complex, hugely scaled scam to steal money from Medicare and Medicaid. One of the whistleblowers, Dr. Alon Vainer of Georgia, said “We are talking in the hundreds of millions, easily …the profit this company made from those two [Medicare and Medicaid] schemes… was hundreds of millions of dollars.”

Dr. Vainer and a nurse, Daniel Barbir, allege that DaVita engaged in a massive fraud scheme from 2003 through 2010, leveraging tens of thousands of patients to fraudulently boost their revenue from the Federal Government’s programs.

Published on: December 10, 2012

Sex Crimes, Bankruptcy Fraud, Los Angeles Lewd Conduct and More: Not a Terrific Legacy for Former World Series Legend, Lenny Dykstra

by Michael Kraut

49-year old ex-professional baseball player, Lenny Dykstra, was sentenced last week to half a year in federal prison in conjunction with bankruptcy fraud charges. Dykstra, the ex-Met and Phillie who went by the nickname “Nails” and who helped the New York Mets cap off their Cinderella 1986 season with astonishing come-from-behind victories against the Astros and the Red Sox, has since seen his life go downhill in a catastrophic fashion.

In addition to bankruptcy fraud charges, he has also faced Los Angeles lewd conduct charges, grand theft auto charges, assault with a deadly weapon charges, and more. During his recent trial, he also confessed to providing misleading testimony regarding an L.A. home that he had bought from hockey great, Wayne Gretzky.

Back in April, his Los Angeles lewd conduct and assault charges netted him a 270-day jail sentence. Dykstra allegedly lured women to his home via Craigslist ads: he claim to be looking for an assistant/housekeeper. He then forced himself upon these women. One woman said that Dykstra held her at knifepoint and ordered her to massage him. In addition to his 500-hours of community service and six months in jail, he’ll also have to pay $200,000 in restitution re his bankruptcy fraud charges.

Published on: December 5, 2012

Will You Be Sentenced to 25 Years in Jail for Your Los Angeles Medicare Fraud Charges (Like 50-Year Old Yuri Khandrius Might Be?)

by Michael Kraut

Odds are that your Los Angeles Medicare fraud charges are slightly “less intense” than 50-year old Yuri Khandrius’ charges. The Brooklyn resident just pled guilty to a massive fraud scheme — a plan to pilfer over $71 million from Medicare’s coffers.

Last Monday, Khandrius pled guilty before U.S. District Judge Nina Gershon to a slate of charges, including conspiracy to pay kickbacks, healthcare fraud, and conspiracy to commit healthcare fraud. Khandrius and others billed the federal government’s Medicare program for an array of never-provided services, tests, therapies, and office visits. They paid co-conspirators in a place that was literally called the “Kickback Room” – offering up more than 1,000 kickbacks totaling over a half a million dollars, between April and June, 2010. When Khandrius gets sentenced on March 11th, he could face up to 25 years behind bars. If the 50-year old serves his full sentence, that means he would not be released again until the age of 75.

Khandrius did not operate this “Bay Medical” scheme himself. The 15 other defendants include five money launderers, two doctors, and nine employees/owners operators of clinics. Judge Gershon will try five more defendants in January.