Dominic Scodeller, $2.7M Insurance Fraud, Illinois 2014

Rock Island, Ill. – Dominic Scodeller, a 47-year-old Davenport resident, has been accused of orchestrating a massive $2.7 million fraud scheme against his former employer, Bituminous Insurance Companies (BITCO), according to federal prosecutors.

The indictment, which was handed down by a grand jury on October 21, 2014, alleges that Scodeller, while serving as a manager of purchasing and facilities for BITCO, approved payments to bogus entities he created and controlled. These entities would then receive payments from BITCO, which Scodeller would subsequently transfer to his own accounts for personal use.

BITCO, which has its headquarters in Rock Island, reportedly suffered significant financial losses due to Scodeller’s alleged actions. The company’s internal investigation led to a referral to federal law enforcement authorities, including the FBI and IRS, which launched their own probe into the matter.

Scodeller was taken into custody earlier today and made his initial appearance before U.S. District Judge Sara L. Darrow in Rock Island. He was ordered to be temporarily detained in the custody of the U.S. Marshals Service pending a detention hearing scheduled for October 29.

Assistant U.S. Attorneys Donald Allegro and Meredith DeCarlo are leading the prosecution in this case. If convicted, Scodeller faces up to 20 years in prison for each count of mail or wire fraud, as well as a fine of up to $250,000. He also faces up to 20 years in prison for each count of money laundering, with a fine of up to $500,000 or twice the value of property involved in the transactions.

Scodeller’s arrest marks a significant step towards bringing him to justice for his alleged crimes. The public is reminded that an indictment is merely an accusation, and Scodeller is presumed innocent until proven guilty in a court of law.

As this case continues to unfold, the public will be kept informed of any developments. In the meantime, the people of Rock Island and beyond can rest assured that those who engage in such egregious acts of financial malfeasance will be held accountable for their actions.

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