Thread: Feds want company's assets

http://www.record-eagle.com/2006/sep/06gtresort.htm

09/06/2006
Feds want company's assets
By PATRICK SULLIVAN

psullivan@record-eagle.com

TRAVERSE CITY — Federal prosecutors want to seize real estate in Florida and California and nearly $600,000 in bank accounts from three people behind a company that allegedly supplied illegal immigrant labor to the Grand Traverse Resort & Spa.

Florida-based RCI Inc. is accused of supplying illegal immigrant labor without the knowledge of resort management.

In complaints for forfeiture of $581,111 from six bank accounts filed Aug. 24 in Grand Rapids, federal investigators accuse RCI of recruiting laborers from Mexico, Honduras and Guatemala to work at the resort, setting up the employees with phony immigration documents and paying them in cash.

In February, federal agents raided the resort and netted 20 undocumented, illegal workers.

RCI is owned by Richard Rosenbaum and Edward Scott Cunningham. It wired money to pay the workers to an employee in Traverse City, Santiago Echaniz, who would make withdrawals of under $10,000 from an account in order to avoid reporting requirements, according to prosecutors.

"RCI encouraged and induced aliens who were employees to reside illegally in the United States so that RCI could operate more profitably," assistant U.S. Attorney Matthew Borgula wrote in a complaint to seize the money from the bank accounts. According to the civil complaint, companies across the country pay RCI over $11 million per year to supply labor, primarily for cleaning services.

In Aug. 29 filings in four separate forfeiture cases where prosecutors seek to seize over $2.1 million worth of real estate from Rosenbaum, Cunningham and RCI bookkeeper Christina Flocken, Borgula asked for a stay in the forfeiture proceedings while prosecutors build a criminal case.

"It is highly likely that the criminal investigation into the violations ... may result in criminal charges," Borgula wrote. "The United States anticipates that the investigation of this matter will be completed within six months."

A call Tuesday to Southfield attorney Jorin Rubin, who represents the three defendants, was not immediately returned.

We need to here about cases llike these every week! Scare the pants off big business to fire their illegal workforce!

Here's a bunch of past articles.


Raid nets illegal workers



http://www.record-eagle.com/2006/mar/16works.htm

March 16, 2006
State employee triggered probe
She is suspected of selling fake documents
By IAN C. STOREY
Record-Eagle staff writer

TRAVERSE CITY - A state employee accused of selling fake work documents prompted federal officials to investigate a Florida-based company that allegedly provided illegal contract workers to the Grand Traverse Resort & Spa.

Juanita Schlagel was allegedly selling Social Security numbers and alien registration documents out of her Traverse City office when Bureau of Immigration and Customs Enforcement investigators caught up with her in spring 2005, according to U.S. District Court records in Grand Rapids.

According to affidavits filed by ICE agent John Alpers, Schlagel told investigators that Santiago Echaniz of Traverse City - a worker with Rosenbaum-Cunningham International Inc. - was providing the resort with "numerous illegal aliens."

Schlagel worked with the state's department of Labor and Economic Growth as a migrant services worker in Traverse City before resigning last summer, department spokeswoman Lori Donlan said.

The investigation led to a raid last month that netted more than 20 illegal and undocumented employees working for RCI at the Acme resort.

Alpers said in May 2005 an anonymous caller told ICE the resort was "paying a smuggler to bring illegal aliens from Texas to Michigan." But assistant U.S. attorney Hagen Frank said resort officials have "cooperated fully" and the resort was not a target in the investigation.

Resort general manager Andrew Bateman said the resort terminated its contract with RCI March 2 as a result of the allegations.

"We were wholly and completely unaware about the status of these employees," he said. "It is time that this issue was put to rest as far as the Grand Traverse Resort and Spa is concerned."

The affidavits filed by Alpers on March 10 allege Miguel Martinez-Garcia and Ofmara Maltos-Trevino, both of Traverse City, violated federal law by unlawfully employing aliens and using fraudulent immigration documents.

Frank said indictments against the two were returned Wednesday.

Neither Schlagel or Echaniz, who have not been charged criminally, could be reached for comment.

Federal agents raided Echaniz's Traverse City home and the offices of RCI Inc. in Florida on March 3, according to court records.

Attempts to reach RCI officials were unsuccessful.

The raid allegedly uncovered payroll ledgers and approximately $750,000 in funds said to be "traceable to the employment of illegal aliens" working for RCI at the resort and several other locations in the United States.

Last year, RCI paid dozens of employees more than $86,000 in back overtime pay after an investigation by the U.S. Department of Labor found workers were not paid overtime and, in some cases, the federal minimum wage.

The violations occurred between July of 2002 and July of 2004.

Bateman said the decision to retain RCI services then was made because no criminal charges were filed in the labor investigation.

"(RCI) made immediate remediation to their employees," he said. "Plus, we had great employees ... we didn't want to punish them for the misdoing of anybody within RCI's organization."




http://www.record-eagle.com/2006/apr/02fraud.htm

04/02/2006
State worker may face charges
She is accused of selling fake documents
BY IAN C. STOREY

istorey@record-eagle.com

TRAVERSE CITY — Federal officials are tight-lipped over whether a former state employee who resigned amid allegations she sold fake documents to illegal immigrants will face criminal charges.

Juanita "Janie" Schlagel, of Williamsburg, was listed in federal affidavits filed by U.S. Immigration and Customs Enforcement agent John Alpers, who sought charges against Miguel Martinez-Garcia and Ofmara Maltos-Trevino, both of Traverse City. They allegedly violated federal law by unlawfully employing aliens and using fraudulent immigration documents.

Schlagel worked for the Michigan Department of Labor and Economic Growth at a Michigan Works office on Garfield Avenue in Traverse City.

The illegal workers were contract employees of Florida-based Rosenbaum-Cunningham International Inc., and worked at Grand Traverse Resort and Spa.

Assistant U.S. attorney Hagen Frank said he could not comment on an investigation into illegal documents.

"It is very much ongoing, but I really can't speak to the facts outside of those already stated in affidavits," he said.

Schlagel, who abruptly resigned from the state on May 20, told investigators that Santiago Echaniz of Traverse City — a worker with RCI Inc. — provided the resort with "numerous illegal aliens."

Repeated attempts to reach Schlagel, who has not been charged criminally, were unsuccessful.

The investigation led to a February raid that netted more than 20 illegal and undocumented employees working for RCI at the Acme resort.

Schlagel began as a migrant services worker with the state Department of Labor and Economic Growth in April 1993 after part-time stints with other state agencies, according to personnel records obtained through the state's Freedom of Information Act.

Schlagel allegedly sold Social Security numbers and alien registration documents from her Traverse City office when immigration investigators caught up with her during undercover operations in spring 2005, according to U.S. District Court records in Grand Rapids.

Federal search warrants were executed at Schlagel's office in Traverse City and her Williamsburg home.

Frank said he does "know what is going on" with the investigation into Schlagel, but could not comment on her status as either a suspect or a witness.

"It would be inappropriate for me to talk about specific individuals who are involved with the ongoing investigation but who have not been charged," he said.

Martinez-Garcia and Maltos-Trevino are scheduled for a jury trial in Grand Rapids on May 22 if plea deals are not reached before then, according to federal court records.



http://www.record-eagle.com/2006/apr/08echaniz.htm
04/08/2006
Man denies role in illegal immigraton scheme
BY IAN C. STOREY

istorey@record-eagle.com

TRAVERSE CITY — A man named in a federal probe of undocumented immigrants who worked at a local resort denied he helped provide fake work documents.

Santiago Echaniz, 41, formerly of Traverse City, was named in a federal affidavit filed by U.S. Immigration and Customs Enforcement agent John Algers in U.S. District Court. Authorities are investigating illegal contract workers at the Grand Traverse Resort & Spa who were provided by Rosenbaum-Cunningham International Inc., of Florida.

Echaniz allegedly was implicated by Juanita "Janie" Schlagel, of Williamsburg, a former state migrant-services worker who allegedly sold Social Security numbers and other documents in a scheme uncovered in spring 2005.

Echaniz, reached by phone in Florida, denied he provided illegal workers to the resort for RCI.

"That is not true," he said. "I required that they had all the identification documents before the resort would put them to work. I gave those documents to the resort and they verified the workers."

Federal authorities have not charged Echaniz, but he faces a local misdemeanor charge of a weapons safety inspection violation. Police said he failed to register two handguns police found in a March 3 search of his Traverse City residence.

"I am not contesting the handguns, it was an oversight," he said. "But as far as me being involved in getting fake documents, that is completely wrong."

Schlagel, who resigned May 20, allegedly told investigators Echaniz and RCI provided the resort with "numerous undocumented illegal aliens," which led to a February raid that netted over 20 employees at the Acme resort.

Grand Traverse County Prosecutor Alan Schneider said he charged Echaniz without realizing he'd been named in the federal probe.

The resort raid led to federal charges against Miguel Martinez-Garcia and Ofmara Maltos-Trevino, both of Traverse City, for allegedly employing illegal aliens and using fraudulent immigration documents.

Echaniz called Schlagel's allegations "crazy." She has not been charged with any crimes.

"They seized my bank account, raided my house, and completely turned my life inside out," he said. "Literally, my life is a shambles right now, but I haven't been charged or indicted for anything."


http://www.record-eagle.com/2006/may/11plea.htm
05/11/2006
Two reach plea deal in illegal immigrant case
BY IAN C. STOREY

istorey@record-eagle.com

GRAND RAPIDS — Two people accused of helping illegal immigrants get jobs as contract workers at Grand Traverse Resort and Spa will cooperate with federal authorities as part of a plea deal.

Miguel Martinez-Garcia and Ofmara Maltos-Trevino, both of Traverse City, accepted deals to plead guilty to one count of aiding and abetting the unlawful employment of aliens, offers awaiting judicial approval in U.S. District Court in Grand Rapids.

A federal grand jury in March indicted Martinez-Garcia and Maltos-Trevino for unlawfully employing aliens and using fraudulent immigration documents.

The two were indicted after U.S. Immigration and Customs Enforcement agents in February netted more than 20 illegal contract workers at the Grand Traverse Resort. They were employed through Rosenbaum-Cunningham International Inc., of Florida.

The raid was triggered by information agents received from Juanita "Janie" Schlagel, of Williamsburg, a former state migrant-services worker with the Michigan Department of Labor and Economic Growth at a Michigan Works office on Garfield Avenue in Traverse City.

Schlagel provided information after she allegedly was caught selling Social Security numbers and other documents in a scheme uncovered in spring 2005.

Schlagel told investigators that Santiago Echaniz, 41, formerly of Traverse City, worked for RCI Inc., by providing the resort with "numerous illegal aliens."

Echaniz denied the allegations. Neither he nor Schlagel have been criminally charged.

As part of the deal, both Martinez-Garcia and Maltos-Trevino must "fully" cooperate with other federal agencies in investigations, including the Internal Revenue Service.

Martinez-Garcia and Maltos-Trevino each face up to six months in prison and fines.



http://www.record-eagle.com/2006/may/27immigration.htm

05/27/2006
Two get 60 days in jail
Illegal workers got contract jobs at Traverse resort
by ian c. storey

istorey@record-eagle.com

GRAND RAPIDS — Two people accused of helping illegal immigrants get contract jobs at Grand Traverse Resort and Spa were sentenced to federal prison.

Miguel Martinez-Garcia and Ofmara Maltos-Trevino, both of Traverse City, were each sentenced by U.S. District Court Judge Joseph Scoville to 60 days in prison.

Martinez-Garcia and Maltos-Trevino accepted deals this month to plead guilty to one count of aiding and abetting the unlawful employment of aliens.

They were indicted by a federal grand jury after U.S. Immigration and Customs Enforcement agents in February netted more than 20 illegal contract workers at Grand Traverse Resort.

The contract workers were employed through Rosenbaum-Cunningham International Inc., of Florida.

A federal grand jury in March indicted Martinez-Garcia and Maltos-Trevino for unlawfully employing aliens and using fraudulent immigration documents.

As part of the deal, both Martinez-Garcia and Maltos-Trevino must "fully" cooperate with other federal agencies.

The Resort raid was triggered by information agents received from Juanita "Janie" Schlagel, of Williamsburg, a former state migrant-services worker with the Michigan Department of Labor and Economic Growth at a Michigan Works office on Garfield Avenue in Traverse City.

Schlagel provided information after she allegedly was caught selling Social Security numbers and other documents in a scheme uncovered in spring 2005.

Schlagel told investigators that Santiago Echaniz, 41, formerly of Traverse City, worked for RCI Inc., by providing the resort with "numerous illegal aliens."

Echaniz has repeatedly denied the allegations.

Neither he nor Schlagel have been criminally charged.

Assistant U.S. attorney Hagen Frank said the investigation continues.

If this is the company, Resorts, Condominiums International (RCI) which is an exchange company for time-share owners and I think they also own their own properties......they have so much money it isn't even funny.

I did a google search for RCI,Inc. and came up with several. But since the article talks about resorts it seems pretty certain that this is who they are. They did not used to have their headquarters in Florida, it used to be in the midwest

For a company with the kind of money this one has to do something like this is inexcusable. It is totally disgusting to think that they would "resort" to hiring illegal aliens.

This is a pretty darn pitiful indication of the state of affairs of corporate America.

The Feds should go after them.....but much harder !!

Many if not most of the people at the tops of these slimy corporations could care less about American citizens. They care all about this



AND NOTHING ABOUT THIS

Federal prosecutors want to seize real estate in Florida and California and nearly $600,000 in bank accounts from three people behind a company that allegedly supplied illegal immigrant labor to the Grand Traverse Resort & Spa.

Mere peanuts compared to the assests they could seize from John Tyson (Tyson Foods), "Bo" Pilgrim (Pilgrims Pride), and Frank Perdue Jr. (Perdue Farms)! These are but 3 of the multi-billion dollar U.S. companies (and there are thousands more) that are seemingly immune to ICE scrutiny..despite the fact that it is common knowledge that these companies have been KNOWINGLY employing illegal aliens for years.

Unless, or until these "big boys" are consistantly targeted..and nailed to the wall, Americans tax dollars are being wasted on an immigration enforcemnt agency that has, for all intents and purposes, been put on ICE!

Greyparrot's

Unless, or until these "big boys" are consistantly targeted..and nailed to the wall, Americans tax dollars are being wasted on an immigration enforcemnt agency that has, for all intents and purposes, has been put on ICE!

Greyparrot, if these "big boys" were made to "pay up" in fines for the crime they are and have been committing, I bet the money could go towards some good college scholarships and grants for "American kids".

What do you think ?

Like for some of these forgotten Americans.

And maybe we could pay him a little more ?

I bet this American could use a little hand.