Former Othello councilman facing wire fraud charges
Charles Garcia, Jr., a former Othello councilmen, is facing federal charges of wire fraud is a scheme to defraud ConAgra Foods. He pleaded not guilty in February.
NEBRASKA - A former Othello councilmember and truck company president recently pleaded not guilty to wire fraud in connection to a scheme to defraud food processor ConAgra.
Charles V. Garcia, Jr., president of GTL Enterprises, Inc. in Othello, is facing eight counts of wire fraud in U.S. District Court in Nebraska. It's alleged Garcia assisted Donald James Wilson, a former division vice president of sales and marketing for ConAgra working out of Bothell, in the alleged fraud scheme over a four-year period.
Wilson, who also pleaded not guilty, is accused of using nearly $600,000 from the company's marketing budget to pay for personal expenses including trips, hotel rooms, rental cars, and other expenses for a professional softball team, the GTL Cartel, that included Garcia. Garcia could not be reached for comment.
According to a federal indictment filed in October, between November 2007 and November 2011, Wilson allegedly submitted fraudulent invoices to ConAgra seeking payment for promotional activities, including a fishing trip and several trips to Major League Baseball's spring training. As part of the alleged scheme, Wilson would request Garcia prepare false GTL invoices related to expenses for promotional trips and activities for ConAgra's customers. ConAgra made at least 15 payments to GTL for nearly $522,000.
GTL allegedly did not provide any of the promotional trips, activities or any other products or services to ConAgra's customers as Wilson and Garcia claimed.
The indictment also alleges Wilson billed ConAgra about $84,000 for promotional items, like golf balls, hats and shirts for customers, which were also allegedly never provided. The money was paid to All Out Athletics in Marysville, also owned by Garcia. The business closed in December.
Each of the eight counts is punishable by up to 20 years in prison.
Garcia is still listed as president of GTL, according to the state Department of Revenue.
Garcia served on Othello City Council from 2010 to 2013.