Jason Pannone, Automobile Warranty Fraud, Pennsylvania 2021
SCRANTON, Pennsylvania – A Rhode Island man was sentenced to 18 months in prison for his role in a scheme to defraud an automobile warranty company in Pennsylvania.
Jason Pannone, 40, of North Providence, Rhode Island, was convicted of conspiring to commit wire and mail fraud, and for aggravated identity theft offenses.
Pannone was found to have processed false invoices for nonexistent automobile repairs through his Providence, Rhode Island automobile detailing shop, Platinum Auto Services, and through Ultra Auto Services, where he was employed.
The invoices were sent to and paid by an automobile warranty company in Wilkes-Barre, Pennsylvania, resulting in a loss of between $150,000 and $250,000.
Pannone pleaded guilty on March 23, 2021, to the charges and was ordered to pay restitution of $128,667.16 to the victim of his crime.
Three of Pannone’s coconspirators were also convicted in the investigation:
Brian Larry, 59, of Clark’s Summit, Pennsylvania, was convicted of mail fraud, wire fraud, aggravated identity theft, and false statement offenses.
Larry was convicted of defrauding his former employer, the Wilkes-Barre based automobile warranty company, from approximately January 2014 through October 2018.
Matthew Gershkoff, 64, of North Providence, Rhode Island, pleaded guilty to conspiring to commit wire fraud, and to aggravated identity theft, and is awaiting sentencing.
Gershkoff was convicted of preparing false invoices for nonexistent automobile repairs at multiple automobile repair shops located in Rhode Island and in Massachusetts.
Herman Cabral, 62, of Cranston, Rhode Island, pleaded guilty to conspiring to commit wire fraud, and was sentenced to 10 months of imprisonment and three years of supervised release.
The case was investigated by the Federal Bureau of Investigation. Assistant U.S. Attorneys Phillip J. Caraballo and Jeffrey St John prosecuted the case.
Key Facts
- State: Pennsylvania
- Category: White Collar Crime|Fraud & Financial Crimes
- Source: DOJ Press Release â†â€â€
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