Charles Wertz Jr., Wire Fraud and Records Falsification, New York 2013

A shocking tale of deceit and corruption has emerged from the waters of Long Island, where Charles Wertz Jr., a commercial fisherman from East Meadow, N.Y., pleaded guilty to one count of wire fraud and two counts of falsification of federal records. Wertz, the operator of the dragger F/V Norseman, was part of a scheme to defraud the United States of overharvested and underreported fluke, a type of summer flounder, as part of the federal Research Set-Aside Program.

Between May 2009 and December 2011, Wertz knowingly submitted 137 falsified dealer reports and 70 falsified fishing logs, known as fishing vessel trip reports (FVTRs), to cover up the illegal fluke harvesting. The fish dealer, C&C Ocean Fishery Ltd., pleaded guilty to one count of wire fraud and three counts of falsification of federal records for its participation in the scheme.

The defendants agreed to pay between $480,000 and $516,000 in combined fines and forfeitures. They also agreed to multiple sentence conditions, including relinquishment of federal fishing permits, a ban on participation in the Research Set-Aside Program, divestiture of any interest in the F/V Norseman, and shutting down the company, C&C Ocean Fishery Ltd.

Wertz and C&C Ocean Fishery Ltd. were charged with violating federal laws and regulations designed to protect the integrity of the Research Set-Aside Program, which supports the goal of ensuring sustainable fisheries for future generations. The case demonstrates that the government will hold those who break the rules accountable.

The scheme to defraud the government was uncovered by the National Oceanic and Atmospheric Administration (NOAA) Office of Law Enforcement's Northeast Division. During the years 2009, 2010, and 2011, the Norseman principally targeted fluke, but on multiple occasions the vessel exceeded its relevant federal and New York State quotas for fluke.

The outcome of this case deters others from coming up with similar schemes to circumvent federal fisheries laws and regulations and from gaining an unfair advantage over those who comply with the regulations.

Wertz pleaded guilty in federal court in Central Islip, N.Y., on Thursday. The court will hear sentencing recommendations at a hearing set for Nov. 22, 2013.

Source: https://www.justice.gov/archives/opa/pr/long-island-fisherman-and-fish-dealer-plead-guilty-wire-fraud-and-records-falsification