U.S. v. Schroeder

Full title: UNITED STATES OF AMERICA PLAINTIFF v. THOMAS SCHROEDER DEFENDANT

Court: United States District Court, W.D. Kentucky, at Louisville

Date published: May 3, 2010

Facts

This matter is before the court on motion of the defendant, Thomas Schroeder, for severance (DN 94). Schroeder alleges that the Superseding Indictment improperly alleges the commission of two separate conspiracies in Count 1, and that these offenses should be severed and tried individually.

Issue

Whether a common goal exists, the nature of the scheme, and any overlap of participants.

Decision

The United States urges that a common thread existed throughout the execution of the scheme to defraud. It contends that Schroeder and Felner used a sham entity, the National Center on Public Education and Prevention (“NCPEp”), to defraud multiple victims and to launder the proceeds of their fraud. It urges that there were multiple overt acts of fraud against multiple victims in the execution of the scheme which were perpetrated through the use of fraudulent NCPEp invoices. The United States contends that NCPEp was a subterfuge through which Schroeder and Felner aided each other in defrauding victims and diverting funds.

Schroeder has not established that the fraud against various entities is separable. It appears that a common goal, common participation by the co-defendants, and a common plan are alleged in the Superseding Indictment. Therefore, the motion for severance (DN 94) is DENIED.

IT IS SO ORDERED.

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