James June, 50, Rockville, Maryland, formerly of South Hadley, Massachusettes, and David Tarczynski, 34, Fort Lauderdale, Florida, formerly of Chicopee, Massachusetts, entered pleas of not guilty on charges of defrauding lending institutions in connection with a loan scheme in Massachusetts and Florida.
June pleaded not guilty to charges of conspiracy, wire fraud, bank fraud and money laundering. Tarczynski pleaded not guilty to charges of conspiracy and bank fraud. Jason Foisy, 34, Port Orange, Florida, formerly of South Hadley, Massachusetts is scheduled to appear on January 10, 2010.
The indictment alleges that June, Foisy and David Tarczynski conspired to buy and refinance properties in Massachusetts and Florida by inflating income and assets and submitting false bank statements and tax returns. The indictment also alleges that the three men fraudulently obtained business lines of credit. According to the indictment, the conspiracy involved more than 100 real estate transactions and more than $50 million in mortgage financing.
If convicted on these charges, June, Foisy and David Tarczynski each face up to 30 years imprisonment, to be followed by five years of supervised release and a $250,000 fine.
United States Attorney Carmen M. Ortiz and William Offord, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigation, Boston Field Division made the announcement today. The case was investigated by the Internal Revenue Service Criminal Investigation, the South Hadley Police Department, the Massachusetts State Police and the Northwestern District Attorney’s Office. It is being prosecuted by Assistant U.S. Attorney Karen Goodwin of Ortiz’s Springfield Unit.
The details contained in the indictment are allegations. The defendants are presumed to be innocent unless and until proven guilty beyond a reasonable doubt in a court of law.