Thursday, August 20, 2015

Crooked consignment dealers who swindled RVers get their comeuppance

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Two crooked RV dealers who swindled Arizona residents in a consignment sale scheme will have a while to think about their victims – behind bars. Arizona Attorney General Mark Brnovich announced the owners of multiple Tucson RV consignment businesses will go to prison for their role in defrauding 24 victims out of $423,542. Lorenzo Caracciolo Sr. was sentenced to five years in prison and his son, Lorenzo Caracciolo Jr., was sentenced to two and a half years in prison.

“This is an appropriate and just sentence,” said Attorney General Mark Brnovich. “The victims suffered life-altering financial losses. Their testimony and cooperation helped ensure these scammers won’t be harming other Arizona families anytime soon.”

For more than three years, from January 2010 through October 2013, Lorenzo Caracciolo Sr. and Lorenzo Caracciolo Jr. used their RV consignment business to scam 24 victims out of thousands of dollars. Most of the victims are elderly. Their financial losses range from $3,400 to over $79,000 individually. The Caracciolo’s executed their fraud scheme by entering into an agreement to sell a used RV on consignment with the RV’s owner. The Cacacciolo’s would then tell the owner that the RV had sold for a lower purchase price than had been offered and would pocket the additional proceeds. Additionally, defendants would deposit the entire sale proceeds into a personal bank account, and never transfer any money from the completed sale to the owner. Defendants employed their scheme through three business entities, Canyon State RV, Kickin’ Kampers, and RV Coachworks.

On November 17, 2014, the Attorney General’s Office obtained State Grand Jury indictments charging the Caracciolo’s with 14 felony counts, including one count of Illegally Conducting an Enterprise, one count of Fraudulent Schemes and Artifices, six counts of Theft, and six counts of Forgery.

The defendants pleaded guilty on June 10, 2015. Lorenzo Caracciolo, Sr. pleaded guilty to Fraudulent Schemes and Artifices and Theft. Lorenzo Caracciolo, Jr. pleaded guilty to two counts of Theft.

On Monday, the Honorable Christopher Browning sentenced Lorenzo Caracciolo, Sr. to five years in prison followed by a seven year probation term upon his release from prison. Judge Browning sentenced Lorenzo Caracciolo, Jr. to two and a half years prison followed by a four year probation term upon his release from prison. In addition to the prison sentences, both defendants were ordered to pay more than $400,000 in restitution to their victims.

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