Headlines

Jeweler Charged with Scheme Targeting Military Families

Published

6 years ago

October 5, 2017

INSTORE Staff

Authorities filed a 14-count felony complaint.

A California jeweler and his wife face criminal charges for allegedly conspiring to engage in illegal financing and debt collection practices.

California Attorney General Xavier Becerra announced the charges against Ramil Abalkhad, owner of Romano’s Jewelers, and Melina Abalkhad, owner of MBNB Financial Inc.

Romano’s Jewelers had several retail locations in California, including stores near Camp Pendleton Marine Corps Base. The Abalkhads targeted young marines and sailors, encouraging the purchase of jewelry using MBNB Financial for credit, according to a press release from Becerra’s office.

According to the criminal complaint, Abalkhad failed to provide legally required disclosures about monthly payments, interest rates or others terms of financing. Those customers who fell behind on their payments were allegedly harassed by the defendants’ debt collectors.

In addition, the defendants posed as an attorney, threatening servicemembers with court martial and other military disciplinary actions, the press release states.

“Our servicemembers and military families sacrifice immensely for our country – the last thing they should have to worry about is being fleeced by local merchants,” Becerra said. “At the Department of Justice, we will vigorously protect California’s servicemembers and veterans, like all consumers in California. We will continue working with our military partners who provide legal assistance and financial counseling to educate and protect military consumers.”

The California Department of Justice filed a 14-count felony complaint that charges the defendants with conspiracy to violate the Unruh Act, which protects consumers who buy goods or services on credit, and the Rosenthal Fair Debt Collection Practices Act, which protects Californians against unlawful debt collection practices.

Ramil Abalkhad was additionally charged with engaging in a check kiting scheme involving Romano’s Jewelers bank accounts that resulted in a loss of $270,000 to First Bank.

A third defendant, MBNB employee Ramiro Salinas, was also charged with conspiracy to engage in unlawful debt collection.

Ramil and Melina Abalkhad were arrested on Sept. 26, and bail was set at $235,000 and $40,000, respectively. Salinas was arrested on Sept. 29, 2017, and bail was set at $100,000.

Related Topics: crime jewelry stores in California

click to Comment(Comment)

Up Next

Salary Survey: Here’s How Much People Are Making in the Jewelry Business

Don't Miss

Diamond Company Files for US Bankruptcy

When There’s No Succession Plan, Call Wilkerson

Bob Wesley, owner of Robert C. Wesley Jewelers in Scottsdale, Ariz., was a third-generation jeweler. When it was time to enjoy life on the other side of the counter, he weighed his options. His lease was nearing renewal time and with no succession plan, he decided it was time to call Wilkerson. There was plenty of inventory to sell and at first, says Wesley, he thought he might try to manage a sale himself. But he’s glad he didn’t. “There’s no way I could have done this as well as Wilkerson,” he says. Wilkerson took responsibility for the entire event, with every detail — from advertising to accounting — done, dusted and managed by the Wilkerson team. “It’s the complete package,” he says of the Wilkerson method of helping jewelers to easily go on to the next phase of their lives. “There’s no way any retailer can duplicate what they’ve done.”