Pittsburgh-area Financial Scam Unfolds

A Pittsburgh businessman pleaded guilty to his role in a massive $2.8M fraud scheme, leaving numerous victims in his wake. Ronald A. Moog, 78, of Pittsburgh, PA, admitted to violating federal laws after nearly 13 years of deceit.

Moog, the former President of Moog Transfinancial Services, a Pittsburgh-based corporation that audited freight bills for other companies, was found to have syphoned money out of a trust account for personal gain. The victims, who had paid Moog to cover their freight charges, were then hit with delinquent freight invoices for the unpaid amounts.

The scheme, which spanned over a decade, was uncovered through an investigation by the United States Postal Inspection Service. Moog’s contractual relationship with the victim companies allowed him to inform them of the payment necessary to pay off their freight charges. However, instead of using the funds to pay the freight bills, Moog would place the money into a trust account and use it for personal purposes.

The victims were left with significant losses, with over $2.8 million being passed onto them in the form of delinquent freight invoices. Moog’s actions were a clear breach of trust and a severe betrayal of the public’s faith in financial institutions.

Moog’s guilty plea marks a significant victory for the victims and the government. He will face sentencing on April 4, 2014, at 9 a.m., with a possible sentence of 60 years in prison, a $750,000 fine, or both. The actual sentence will be determined by Judge Nora Barry Fischer, who will take into account the seriousness of the offenses and Moog’s criminal history.

The case serves as a reminder of the importance of transparency and accountability in financial institutions. It is crucial that businesses and individuals prioritize honesty and integrity in their dealings to prevent such scandals from occurring in the future.

Assistant United States Attorney James T. Kitchen is prosecuting the case on behalf of the government. The case highlights the need for vigilant oversight and enforcement to prevent and punish financial crimes.

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