Published Wednesday, April 24, 2002
FARRELL, SHARON
Valley woman pleads not guilty; other suspect in bank fraud soughtBy Joe Pinchot
Herald Staff Writer
A Shenango Valley woman Tuesday pleaded not guilty to federal bank fraud charges, while a Farrell man charged in the case remains at large.
Lynette Frieson, 34, of 614 French St., Farrell, or 250 Orchard St., Sharon, entered the plea at her arraignment Tuesday before Judge George J. Limbert, Youngstown, a court spokeswoman said.
Ms. Frieson, who was arrested Tuesday by Southwest Mercer County Regional police, was released after posting $20,000 bond.
Assistant U.S. Attorney James V. Moroney said an arrest warrant has been issued for Charles R. Harris, 31, of 614 French.
Ms. Frieson and Harris are the alleged ringleaders in the fraud, according to the U.S. Attorney's Office.
The other five people charged in the case were mailed summonses to appear in court May 2 for arraignment before U.S. District Court Judge Donald Nugent, Cleveland.
They are:
Wells and Green are believed to be in the Pennsylvania prison system on unrelated charges, a spokesman for the U.S. Attorney's Office said.
All defendants were charged with bank fraud and conspiracy to commit bank fraud.
According to the U.S. Attorney's Office, Harris and Ms. Frieson obtained checks from businesses and organizations, and used them as samples to make counterfeit checks.
Harris and Ms. Frieson also assisted the other people indicted with getting false identification documents to use in passing the checks, the U.S. Attorney's Office said.
Some of the checks were cashed and others were deposited and the money then withdrawn from the accounts, the U.S. Attorney's Office said.
The FBI has been investigating the case since at least Jan. 19, 1999, when it raided Harris' clothing store, the former Chuck and the Whole 9 Yards in Sharon.
Moroney said part of delay in seeking the indictment was due to jurisdictional questions among the three FBI offices -- Youngstown, New Castle and Erie -- and two U.S. Attorney's offices, in Pittsburgh and Cleveland.
Moroney said he will argue that the substantive bank frauds occurred in Ohio, but he will seek restitution for both Ohio and Pennsylvania banks that lost money.
At least 13 financial institutions were defrauded of at least $150,000 between April 8, 1998, and January 1999, the U.S. Attorney's Office said.