Headlines

Judge Dismisses $7M Fraud Case Against Jeweler

Published

6 years ago

September 12, 2017

INSTORE Staff

He was accused in a scheme to defraud lenders.

A judge has dismissed a fraud case against the former owner of well-known Boston-area jewelry chain Alpha Omega Jewelers.

Raman Handa, formerly of Lexington, MA, was arrested Tuesday at Los Angeles International Airport as he returned to the U.S. from India, where he had been living for almost 10 years. He was accused in a scheme to defraud the company’s former lenders, according to the U.S. Justice Department.

U.S. District Judge Rya W. Zobel in Boston determined that the indictment against Handa violated his right to a speedy trial, Law360 reports. According to Law360, the judge claimed that the government had not tried hard enough to make a timely arrest.

A 2011 indictment unsealed in February charges Handa with 12 counts of wire fraud. It stated that from May 2007 to December 2007, Alpha Omega experienced severe financial troubles, and had difficulty keeping current with loans it had with several banks.

It was alleged that as part of the scheme to defraud Alpha Omega’s lenders and in order to obtain additional loans, Handa fabricated inventory on reports that were submitted to the banks.

According to the Justice Department, on Dec. 15, 2007, Handa and his family abruptly left the U.S. After discovering Handa’s departure, Alpha Omega’s lender took control of the company and conducted a detailed review of Alpha Omega’s inventory.

The indictment stated that the review revealed over $7 million dollars in missing or unaccounted for inventory.

India New England News reports that prosecutors’ next step is yet known. It’s possible they will appeal Zobel’s decision.

Read more at Law360

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.”