Zeek Figure Craddock Expected To Plead Guilty In Separate Case

Zeek Rewards’ figure Robert Craddock is expected to plead guilty to wire fraud this afternoon in federal court in Orlando, Fla., in a case that alleged he defrauded a compensation fund set up to assist businesses affected by the Deepwater Horizon oil spill in 2010.

Craddock, 54, of Port Orange, Fla., has not been charged with wrongdoing in the Zeek Ponzi- and pyramid-scheme case. But he was charged in March 2015 with fleecing the Deepwater Horizon fund of more than $100,000 by crafting fictitious invoices.

In a June 12 agreement with the office of U.S. Attorney A. Lee Bentley III of the Middle District of Florida, Craddock admitted to the crime and accepted responsibility. Prosecutors, in turn, recommended a two-level downward departure for the purposes of sentencing. If Craddock completes a financial affidavit and keeps his end of the deal, prosecutors said they’d recommended a downward departure of an additional level.

Under the terms of the agreement, Craddock will forfeit $117,700, cooperate in the identification of assets and submit to a polygraph exam if requested by prosecutors.

“The defendant agrees to take all steps necessary to identify and locate all substitute assets and to transfer custody of such assets to the United States before the defendant’s sentencing,” the agreement reads in part. “The defendant agrees to be interviewed by the government, prior to and after sentencing, regarding such assets. The defendant further agrees to be polygraphed on the issue of assets, if it is deemed necessary by the United States.”

In addition, the agreement covers only Craddock’s Deepwater Horizon-related conduct. Whether he is under government scrutiny for Zeek-related conduct or other MLM activities is unclear.

“It is further understood that this agreement is limited to the Office of the United States Attorney for the Middle District of Florida and cannot bind other federal, state, or local prosecuting authorities, although this office will bring defendant’s cooperation, if any, to the attention of other prosecuting officers or others, if requested,” the agreement reads in part.

Though uncharged in the Zeek case, Craddock has been described by the SEC as an obstructionist who encouraged victims of the $897 million Zeek scheme not to cooperate with Kenneth D. Bell, the court-appointed receiver.

NOTE: Our thanks to the ASD Updates Blog.

 

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5 Responses to “Zeek Figure Craddock Expected To Plead Guilty In Separate Case”

  1. Apparently he already has plead guilty, according to OZ at behindmlm.

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  2. John: Apparently he already has plead guilty, according to OZ at behindmlm.

    A change-of-plea hearing was docketed for 2 p.m. EDT today. Craddock pleaded guilty at that hearing.

    U.S. Magistrate Judge David A. Baker recommended to presiding Judge Gregory A. Presnell that the plea and the plea agreement be accepted. A presentencing investigation and report will follow. The timeline right now is unclear. Judge Presnell has the final word.

    Shout out to ASD Updates.

    Patrick

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  3. Thanks

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  4. Quick note: Judge Presnell today accepted the guilty plea of Robert Craddock. Sentencing set for Sept. 14.

    Another shout out to ASD Updates:

    http://asdupdates.com/wordpress/archives/6518

    Patrick

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  5. Quick note: On July 20, Judge Presnell entered a Forfeiture Money Judgment in the amount of $117,700 against Robert Craddock.

    It will serve as the final order of forfeiture. Sentencing still set for September.

    Shout out to ASD Updates.

    http://asdupdates.com/wordpress

    Patrick

      (Quote)

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