Regional Controller for Turnberry West Charged with Conspiracy and Fraud in Connection with $6 Million Embezzlement Scheme

LAS VEGASThe controller for the company which owned or developed the Residences at MGM, Town Square Shopping Center, Turnberry Place, Turnberry Towers Condominiums, and the Stirling Club in Las Vegas and an accomplice have been indicted by the federal grand jury on charges that they stole almost $6 million from the company over a five-year period by fraudulently causing bank account transfers. Hope Ippoliti, 51, and Rocco Lazazzaro, 54, both of Las Vegas, are charged with one count of conspiracy to commit wire fraud and 24 counts of wire fraud. Lazazzaro is also charged with one count of attempted interference with commerce by threats and violence. The indictment was returned on December19, 2012. Lazazzaro appeared before a federal magistrate judge in Las Vegas last Friday, December 21, 2012, and was detained pending trial. According to the indictment, Ippoliti worked as the Western regional controller for Turnberry West Realty, a subsidiary of Turnberry Associates, LLC. In that capacity, Ippoliti had signatory authority and access to certain Turnberry bank accounts. Between May 17, 2007, and January 12, 2012, Ippoliti allegedly created fund transfer requests which she faxed or e-mailed or caused to be faxed or e-mailed from Nevada to Turnberry Associates in Florida for the purpose of causing transfers of funds into bank accounts over which she had signatory authority. Ippoliti falsely represented that the fund transfers were for genuine Turnberry business related expenses when she knew that she intended to withdraw the funds solely to benefit herself and Lazazzaro. Ippoliti allegedly withdrew the funds by creating checks made payable to cash, to herself, and to Lazazzaro. Ippoliti and Lazazzaro deposited and cashed checks and cashiers checks drawn on bank accounts belonging to Turnberry Associates when they knew that the funds were derived fraudulently and that they were not entitled to them. Between February 14 and February 16, 2012, Lazazzaro allegedly attempted to use force, violence, and fear to extort more money from Turnberry Associates through Ippoliti. If convicted, they face a maximum of 20 years in prison and a $250,000 fine on each fraud count, and Lazazzaro also faces a maximum of 20 years in prison and a $250,000 fine on the extortion count. The defendants are also subject to forfeiture for the loss in the approximate amount of $5.7 million. The case is being jointly investigated by the United States Secret Service and the FBI.