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Indictment of Josepf Horvath and Daniel Wirth


In April 2004, Josepf Steven Horvath and Daniel Wirth pleaded guilty to conspiracy to commit mail and bank fraud (Count One, below) and agreed to forfeit assets of more than $1 million acquired through their schemes (Count 35, paragraph 2, subparagraphs a through h). Documents in the case indicate that the pair used assumed names, obtained bogus identifying documents, and obtained employment with a large financial institution from which Horvath improperly paid Wirth for alleged services. According to a report in the Allentown Morning Call, the men met while pursuing master's degrees in parapsychology at John F. Kennedy University in Orinda, Calif., in the late 1980s. Wirth completed the program, earned a law degree from the University of Santa Clara, and subsequently co-authored reports of studies of the effects of prayer and therapeutic touch. Wirth's long pattern of dishonest behavior raises the question about whether the studies actually took place and, if so, whether their results were reported honestly.


IN THE UNITED STATES DISTRICT COURT
FOR THE MIDDLE DISTRICT OF PENNSYLVANIA

UNITED STATES OF AMERICA
 
v.
 
JOHN DOE (FBI No.034055NA9),
aka
John Wayne Truelove,
Joseph Wayne Hessler,
Jeffrey Wayne Hessler
Josepf Steven Horvath,
Dr. James Royce
and
DANIEL WIRTH
:
:
:
:
:
:
:
:
:
:
:
:
CRIMINAL NO.
(Vio: 18 USC 371; 1341;
          2314; 1028; 1029;
         1014; 928)

FOURTH SUPERSEDING INDICTMENT

THE GRAND JURY ALLEGES:

INTRODUCTION

At all times relevant to the superseding indictment:

1. John Wayne Truelove was born on September 6, 1954 in Fairfield County, Connecticut. and died on May 3, 1959 in Westchester County, New York.

2. Jeffrey Wayne Hessler was born on December 25, 1955 in Havelock County, North Carolina and died on April 20, 1957 in New Haven County, Connecticut.

3. Vivian E. Wirth was born on May 1, 1925 in Philadelphia, Pennsylvania and died on May 19, 1994 in Queens, New York, New York.

4. Julius Wirth was born on July 17, 1922 and died in Yonkers, New York on July 12, 1994.

5. Vivian E. Wirth received social security benefits until her death, when those benefits were terminated by the Social Security Administration upon notification of her death.

6. Julius Wirth also received social security benefits.

7. Prior to their deaths, Vivian and Julius Wirth had arranged for their social security benefits to be delivered via electronic funds transfer to Republic National Bank of New York, later known as HSBC Bank USA..

8. The Social Security Administration was not notified of the death of Julius Wirth, and social security benefits totaling approximately $103,178.20, continued to be paid after his death on July 12, 1994 until August 2003 via electronic funds transfer to the Republic National Bank account of Vivian and Julius Wirth.

9. Adelphia Communications corporation ("Adelphia") operated cable television systems and maintained its principal place of business in Coudersport, Pennsylvania and an office in Buffalo, New York.

10. The defendant JOHN DOE (FBI No.034055NA9) was employed by Adelphia, under the name "John Wayne Truelove," as manager of applications development at Adelphia's office in Buffalo.

11. The Pew Charitable Trusts was a charitable organization with offices in Philadelphia, Pennsylvania.

12. The defendant JON DOE (FBI No.034055NA9) was employed by The Pew Charitable Trusts, under the name "John Wayne Truelove," at the Pew office in Philadelphia.

13. Defendant DANIEL WIRTH resided in California and is admitted as an attorney in Washington and Pennsylvania.

14. First Union National Bank, HSBC Bank USA (formerly Republic National Bank of New York), Citibank, Chase Manhattan, Comerica Bank-California, MENA Bank, Northwest Savings Bank, Sovereign Bank, and Ulster Savings Bank were financial institutions as defined in Title 18, United States Code, Section 20, whose deposits were insured by the Federal Deposit Insurance Corporation.

15. AmeriChoice Federal Credit Union was a financial institution as defined in Title 18, United States Code, Section 20, whose deposits were insured by the National Credit Union Share Insurance Fund.

17. Linsco Private Ledger was an investment and financial services company, based in Boston, Massachusetts and with registered representatives in York, Pennsylvania.

18. In 1990, DOE was convicted on the charge of unlawful human experimentation in Palo Alto, California as a result of activities involving the study of alternative medicine, and in connection with chat matter identified himself as "Jeffrey Wayne Hessler, "Josepf Steve Horvath," and "Dr. James Royce."

19.. DOE and WIRTH have participated together, and with other's, in activities involving the study of alternative medicine, including the presentation and publication of papers in that area.

THE GRAND JURY CHARGES:

COUNT ONE
Conspiracy (18 U.S.C. I 371)

1. From in or around September 1981, through and including the date of this superseding indictment, in potter County, within the Middle District of Pennsylvania, and elsewhere, the defendants

JOHN DOE (FBI No.034055NA9), aka
John Wayne Truelove,
Joseph Wayne Hessler,
Jeffrey Wayne Hessler,
Josepf Steven Horvath,
Dr. James Royce
and
DANIEL WIRTH

did combine, conspire, confederate and agree together and with each other, and with other persons known and unknown to the grand jury, to commit offenses against the United States, that is:

(a) to devise and intend to devise a scheme and artifice to defraud and for obtaining money and property by means of false and fraudulent pretenses, representations, and promises, and for the purpose of executing the scheme and artifice, and attempting to do so, did cause a matter or thing to be sent or delivered by the Postal Service, or by any private or commercial interstate carrier, said scheme and artifice having affected a financial institution, in violation of Title 18, United States Code, Section 1341;

(b) to knowingly execute and attempt to execute a scheme and artifice to defraud a financial institution and to obtain any of the moneys, funds, credits, assets, securities, or any other property owned by or under the custody or control of a financial institution, by means of false and fraudulent pretenses, representations and promises, in violation of Title 18, United States Code, Section 1344;

(c) to cause to be made any false entry in any book, report, or statement of a Federal Reserve Bank to deceive any officer of such a bank or branch, in violation of Title 18, United States Code, Section 1005;

(d) to transport, transmit, and transfer in interstate commerce any goods, wares, merchandise, securities, or money, of the value of $5,000 or more, knowing the same to have been stolen, converted, or taken by fraud, in violation of Title 18, United States Code, Section 2314;

(e) to knowingly and without lawful authority (1) produce an identification document and false identification document and (2) transfer and use a means of identification of anot1l.er person with the intent to commit, and to aid and abet, unlawful activity that constitutes a violation of federal law, or that constitutes a felony under any applicable state law, in violation of Title 18, United States Code, Sections 1028(a) (1) and (a) (7);

(f) to knowingly and intentionally conduct and attempt to conduct financial transactions affecting interstate or foreign commerce, which involved the proceeds of specified unlawful activity, to wit, the offenses set forth in this superseding indictment, with the intent to promote the carrying on of specified unlawful activity, and that while conducting and attempting to conduct such financial transactions knew the property involved in the financial transactions represented the proceeds of some form of unlawful activity, in violation of Title 18, United States Code, Section 1956 (a) (1) (A) (i);

(g) to knowingly and intentionally conduct and attempt to conduct financial transactions involving the proceeds of specified unlawful activity, to wit: the offense set forth in this superseding indictment, with the knowledge that the property involved in the financial transactions represented the proceeds of some form of unlawful activity and in order to conceal or disguise the nature, the location, the source, the ownership, and the control of the proceeds of specified unlawful activities, in violation of Title 18, United States Code, Section 1956 (a) (1) (B) (i) .

(h) to knowingly make false statements and reports, and willfully overvalue land, property and security, for the purpose of influencing a financial institution upon an application, advance, discount, purchase, purchase agreement, re-purchased agreement, commitment, and loan, and any change or extension of .any of the same, by renewal, deferment of action, and the acceptance, release, and substitution of security, in violation of Title 18, United States Code, Section 1014;

(i) to knowingly, and with intent to defraud, use one or more unauthorized access devices during a one year period to obtain things of value aggregating $1,000 or more during that period, said use having an effect on interstate commerce, in violation of Title 18, United States Code Section 1029(a) (2).

MANNER AND MEANS

It was part of the conspiracy and scheme that:

1. The conspirators took. stole, used, and appropriated for their own use and benefit the identities of the deceased, John Wayne Truelove, Jeffrey Wayne Hessler, Vivian E. Wirth, and Julius Wirth, as well as the identity of James Royce.

2. Using the stolen identities, the conspirators applied for and obtained various means of identification and identification documents, including drivers licenses. social security account numbers and cards, birth certificates, and passports.

3. The consplrators used the stolen identities, including various names, addresses, telephone numbers, dates of birth, and social security numbers. to obtain bank, credit union, and credit card accounts, loans and credit, which they used to facilitate the commission of unlawful activity and to launder the proceeds of unlawful activity.

4. The conspirators applied for, and used false and fraudulently obtained identification documents obtained in the names of Truelove and Hessler, including a passport, birth certificates, drivers' licenses, and employment identification,

5. The conspirators used the stolen identities and false and fraudulently obtained identification documents bearing those stolen identities to obtain bank. credit card and credit union accounts, loans and credit, which they used to facilitate the commission of unlawful activity and to launder ~he proceeds of unlawful activity.

6. The conspirators used stolen identities and false identification documents to apply for and obtain employment, including consulting contracts and positions, at Adelphia and The Pew Charitable Trusts.

7. As a result of obtaining employment under false pretenses, the conspirators received and used wages, salary and other income and benefits obtained from Adelphia and The Pew Charitable Trusts, totaling in excess of $ $573,998.

8. Having utilized one of the stolen identities to obtain employment at Adelphia, the conspirators submitted to Adelphia's accounts payables division in Coudersport false, fraudulent, and fictitious invoices for consulting services purportedly performed by Wirth.

9. As a result of submitting the fraudulent invoices. the conspirators caused Adelphia to mail checks totaling approximately $2.1 million to a mailbox center in Capitola, California.

10. After the fraudulently obtained checks were received by mail in California, the conspirators caused the checks to be transmitted back to Pennsylvania.

11. The conspirators then caused the fraudulently obtained checks to be deposited into First Union accounts opened in Pennsylvania.

12. Using the stolen identities, the conspirators created a network of mailboxes at commercial mail receiving centers and used a number of misappropriated and fraudulently obtained identities, addresses, and identification documents to carry out the scheme and conspiracy.

13. With loans and credit obtained using the stolen identities, the conspirators purchased a vehicle, a residential property, and other valuable goods and services.

14. The conspirators distributed the funds, which they had obtained by fraud from Adelphia using one of the stolen identities, to various bank accounts, credit card accounts, and creditors at the conspirators,

15. Using the name "John Wayne Truelove," the conspirators rented and occupied an apartment in California

16. Using bank accounts opened under the stolen identity of "John Wayne Truelove" and funds which they had obtained by fraud from Adelphia, the conspirators paid the rent for the apartment in California.

17. The conspirators fraudulently obtained and used credit cards issued in the name of "John Wayne Truelove" and purchased valuable goods and services, totaling in excess of $171,967.43.

18. The conspirators used the identities of, and social security numbers associated with, Jeffrey Wayne Hessler and Julius and Vivian Wirth to obtain social security benefits under the social security account of Julius Wirth, after Julius Wirth had died and there was no lawful entitlement to benefits after his death.

19. To conceal the conspiracy and scheme and artifice, when questioned by law enforcement authorities in California and Pennsylvania, DOE provided the names John Wayne Truelove Josepf Steven Horvath, and Josepf Wayne Hessler and other false information concerning his identity, background, residence and education.

20. To conceal the conspiracy and scheme and artifice, WIRTH provided false information about his participation with DOE in the conspiracy and scheme and artifice, their past association and participation in alternative medicine studies, and his knowledge of DOE's identity.

OVERT ACTS

In furtherance of and to effect the objects of the conspiracy and scheme, the following overt acts were committed in the Middle District of Pennsylvania and elsewhere:

1. Sometime after the death of Jeffrey Wayne Hessler, on or about September 22, 1981, the conspirators obtained a social security number issued in Hessler's naame.

2. Sometime after the death of John Wayne Truelove, on or after August 22, 1983, DOE assumed the identity of Truelove, and on multiple occasions used a social security account number fraudulently obtained with a copy of Truelove's birth certificate arid a drivers license.

3. On or about March 14, 1984, DANIEL WIRTH completed and submitted a United States Department of State Passport Application using the name "John Wayne Truelove," date of birth September 6, 1954, place of birth Danbury, Connecticut, with no social security number indicated.

4. On or about October 10, 1984. DANIEL WIRTH completed an application for United States Post Office Box 502 at 875 Saw Mill River Road. Ardsley, New York, 10502.

5. In completing the application for Post Office Box 502, DANIEL WIRTH listed an address of 37 Murray Avenue, Yonkers, New York 10704.

6. In applying for Post Office Box 502, DANIEL WIRTH authorized "Rudy Wirth" to receive mail at that post office box; Rudolph Wirth, who died on February 15, 1998, was a social security benefits recipient, with an address of record at 37 Murray Avenue, Yonkers, New York 10704.

7. In or around September through December 1990, DOE represented that he was "Dr. James Royce" in engaging a professional photographer to photograph round cuts on the upper shoulder areas of three purported medical research subjects.

8. In or around September through December 1990, DOE paid the professional photographer with an American Express credit card, account number 372868990203010, issued to "Josepf Horvath," with another cardholder, "James Royce," and an address of 1364 Rudgear, Walnut Creek, California.

9. On or after December 24, 1990, DOE told officers of the Palo Alto, California Police Department that his name was Jeffrey W. Hessler, Joseph Wayne Hessler, and Josepf Horvath.

10. In or around 1990, exact date unknown, WIRTH prepared an article titled "Unorthodox Healing: The Effect of Noncontact Therapeutic Touch on the Healing Rate of Full Thickness Dermal Wounds,"

11. On or about June 1, 1992, DOE used the name "John Wayne Truelove" and a non-existent address to open a mailbox at a commercial mail receiving center at East 9116 Sprague, Spokane, Washington. 99206.

12. On or about December 21, 1992, DOE obtained a California drivers license in the name JW Hessler" with a date of birth, December 25, 1955.

13. On or about July 28, 1993, WIRTH used the address of East 9116 Sprague Avenue, Box 76, Spokane, Washington as a mailing address in applying for and attaining admission to the Washington state bar.

14. On or "about November 21, 1997, DOE used the name "John Wayne Truelove" to obtain employment at The Pew Charitable Trusts in the position of manager, information technology.

15. On November 21, 1997, DOE completed an employee's withho14ing allowance certificate, IRS Form W-4 using the name "John Wayne Truelove, social security number 378-92-7197, and an address of # 138, 634 York Road, Warminster, Pennsylvania, 18974.

16. From on or after November 21, 1997 until his employment ended, DOE collected and received wages, salary and other income from the Pew Charitable Trusts, totaling $159,299.00 under the name "John Wayne Truelove."

17. On or about December 15, 1997, DOE submitted a Money Access Card ("MAC") application to AmeriChoice Federal Credit Union using the name "John Truelove," social security number 378-92-7197, date of birth September 6, 1954, a commercial mail box facility at 634 York Road, #138, Warminster, Pa. 18974, and a home telephone number of (215)248-6909, also used by WIRTH.

18. On or about July 22, 1998, DOE applied to AmeriChoice Federal Credit Union for a credit card with a $10,000 credit limit, using the name "John W. Truelove," social security number 378-92-7197, a commercial mailbox location, 634 York Road, #138, Warminster, Pa. 18974 as his home address, and a telephone number 215 248-6909, also used by WIRTH, and listing The Pew Charitable Trusts as his current employer and "Consulting Group; Director, IT, 1824-5th, Seattle, WA" as his previous employer.

19. On August 27, 1998, DOE fraudulently obtained a Washington state drivers license in the name "John Wayne Truelove."

20. In fraudulently applying for the Washington drivers license, DOE listed as his address a mailbox at a commercial mail receiving center at East 9116 Sprague, Spokane, Washington, 99206.

21. On or about August 26, 1998. WIRTH opened an account at First Union National Bank, account number 3014217160537, in his name using the address of Suite 60, 1121 N. Bethlehem Pike, Spring House, PA 19477.

22. On September 5, 1998, DOE fraudulently obtained a Pennsylvania "drivers license issued in the name "John Wayne Truelove."

23. In fraudulently applying for the Pennsylvania drivers license; DOE listed as his address a mailbox at a commercial mail receiving center, Mail and Parcel Center, located at #138, 634 York Road, Warminster, Pennsylvania, 18974 and his telephone number as (215) 248-6909, a number also used by WIRTH.

24. On or about October 16, 1998, WIRTH opened an account at First Union National Bank, account number 1014227770179, in his name using the address of Suite 60, 1121 N. Bethlehem Pike, Spring House, PA 19477.

25. On or about December 24, 1998, WIRTH obtained a Vermont drivers license in the name of "Daniel P. Wirth" with a post office box "?O. Box 1268, Wilmington, VT 05363," which had not been assigned to him by the post office.

26. On or about December 23, 1998, DOE obtained a car loan in the amount of $33,725.26 for a 1999 Jeep Cherokee, from AmeriChoice Federal Credit Union using the name "John W.' Truelove" and social security number 378-92-7197.

27. On or about January 1, 1999, the conspirators received from Ulster Savings Bank an IRS Form 1099 in the name of Jeffrey Wayne Hessler.

28. On or about June 28. 1999, DOE renewed a mailbox at a commercial "mail receiving center, Mail and Parcel Center, located at 634 York Road, #138, Warminster, Pennsylvania, 18974, using the name "John Wayne Truelove."

29. When he obtained the mail box in Warminster, Pennsylvania, DOE provided the false and fraudulently obtained Washington state drivers license, a Connecticut birth certificate, and an employee identification card from Computer Consulting, Inc.

30. When he obtained the mail box in Warminster, Pennsylvania, DOE provided a false address of 3505 Moreland Road, Willow Grove, Pennsylvania and a false telephone number of (215) 855-2200.

31. On or about July 6, 1999. DOE received a job offer directed to John Wayne Truelove from Adelphia with a starting salary of $135,000 per year and a bonus of $10,000.

32. On or about July 28, 1999, DOE closed on a mortgage with Chase Manhattan Mortgage using the name "John Wayne Truelove." for a residential property located at 1561 Spring Valley Road. Bethlehem, Pennsylvania.

33. On or about August 2, 1999, in starting work at Adelphia. DOE completed an employee's withholding allowance certificate. IRS Form W-4 using the name "John Wayne Truelove, social security number 378-92-7197, and an address of 634 York Road. #138. Warminster, Pennsylvania. 18974.

34. On or about August 2, 1999. DOE completed a New Hire Payroll Form at Adelphia in which he used the name "John W. Truelove." social security number 378-92-7197, Pennsylvania Driver's License number 26126605, the commercial mailbox #138, 634 York Road, Warminster, Pa. 18974, and the name of "David Harmon" as the person to contact in case of emergency at 215 248-6904, a telephone number also used by WIRTH.

35. On or about August 2, 1999, DOE purchased the residential property at 156 Spring Valley Road, Bethlehem, Pennsylvania in the name of John Wayne Truelove.

36. On or about August 30, 1999, DOE began employment with Adelphia as "John Wayne Truelove," date of birth September 6, 19S4, and social security number 378-92-7197.

37. From on or after August 30, 1999 until his employment ended, DOE collected and received wages, salary, benefits and other income from Adelphia, totaling in excess of $467,477, under the name "John Wayne Truelove."

38. On or about September 3, 1999, in connection with homeowners insurance, DOE provided a telephone number 215 248-6909, also used by WIRTH, to the Swartley Agency in Silverdale, Pennsylvania.

39. On or about February 9, 2000, using the name and social security number for John Wayne Truelove, DOE applied to Northwest Savings Bank, a division of Sovereign Bank, for a $15,000 line of credit, and listed Adelphia as his employer.

40. On or about January 1, 2001, the conspirators rented an apartment at the Swan Lake Apartments in Santa Cruz, California under the name John Wayne Truelove.

41. On January 23, 2001, WIRTH opened a mail box at 1840 412t Avenue, #102, Capitola, California.

42. On or about July 28, 2001, DOE opened checking and savings accounts at HSBC using the name "John Wayne Truelove," social security number 378-92-7197, a date of birth of September 6, 1954, and an address of Adelphia Systems Development Dept., Seymour H. Knox, III Plaza, Buffalo, New York 14203.

43. On or before September 7, 2001, WIRTH opened and controlled two bank accounts at First Union, a custom checking and a statement savings, and provided to the bank as his address a mail box at a commercial mail receiving service, Mail Boxes, Etc., located at #105, 1201 Bethlehem Pike, North Wales, Pennsylvania 19454 to open the accounts.

44. On or before January 14, 2001, WIRTH obtained a mailbox from a commercial mail receiving center at Suite 60, 1121 N. Bethlehem Pike, Spring House, Pennsylvania, 19477, located ~cross the street from the First Union branch,

45. When he applied for the mailbox in Spring House, Pa., WIRTH provided an address of 621 Broad Street, Lansdale, Pennsylvania 19466, an address where WIRTH has never resided, and a telephone number (215) 248-6904, a number also used by DOE.

46. On or about the following dates commencing January 31, 2001, in the following counts, the conspirators wrote checks drawn on the AmeriChoice credit union account that he opened in the name of "John Wayne Truelove," payable co the Swan Lake Apartments in Santa Cruz, California, where WIRTH resided under the name "John Wayne Truelove":

Date Check no, Amount
January 31, 2001 307 $1,448.58
February 28, 2001 266 $1,450.00
April 1, 2001 270 $1,450.00
November 1, 2001 120 $1,450.00
April 1, 2002 321 $1,450.00

47. On or about the following dates, commencing in December 2001, WIRTH wrote the following checks, in the following accounts, on the First Union account, number 1014227770179, that he opened on October 16, 1998:

Date Check no. Payee

  Amount     
12/20/01 301 Toni Vogt $ 10,000.00
12/20/01 302 Harold Vogt  $ 10,000.00
12/20/01 303 Harold Vogt $ 10,000.00
12/21/01 317 Howard Kahn, CPA $  60.00
12/26/01 308 Howard Kahn & Assoc $ 300.00
12/27/01 309 Capital Guardian Trust $ 20,400.00
12/27/01 310 Capital Guardian Trust $ 13,600.00
12/27/01 311 Linsco Private Ledger $ 369,000.00
12/31/01 306 Commonwealth of Pennsylvania $ 23,000.00
12/31/01 316 LGT Associates $ 7,600.00
01/05/02 304 Harold & Toni Vogt $ 10,000.00
01/05/02 305 Toni Vogt $ 10,000.00
01/10/02 318 U.S. Treasury $ 272,000.00
01/17/01 319 Capital Guardian Trust $ 1,000.00
01/26/01 315 Bruce Wallace/Stocker & Leader

$

400.00

48. On or about December 27, 2001, WIRTH wrote check number 311 drawn on a First Union account in the amount of " $369,000 payable to Linsco Private Ledger for deposit into the Linsco Private Ledger account in WIRTH's name.

49. On January 15, 2002, WIRTH opened a business high performance money market account at First Union in the name "Daniel Wirth, Esquire" with an address of Suite 60, 1121 N. Bethlehem Pike, Spring House, Pennsylvania, 19477.

50. On January 15, 2002, WIRTH opened an operating account at First Union in the name "Daniel Wirth, Esquire" with an address of Suite 60, 1121 N. Bethlehem Pike, Spring House, Pennsylvania, 19477.

51. On or about January 28, 2002, WIRTH filed documents with the Secretary of State of the Commonwealth of Pennsylvania to create a professional corporation in the name "Daniel Wirth, Esquire," and listed the commercial mail box at #60, 1121 North Bethlehem Pike, Spring House, Pa. 19477 as the registered office.

52. On February 27, 2002, WIRTH transferred, or caused to be transferred, $10,000 from the First Union high performance money market account to the First Union operating account.

53. DOE approved invoices for consulting work purportedly performed by WIRTH.

54. On or about the following dates, DOE caused Adelphia to make the following checks, totaling $1,831,250 payable to Daniel Wirth and mail them to WIRTH at #102, 1840 41st Avenue, Capitola, California, the mailbox opened by WIRTH:

Date Check no, Amount
09/07/2001 1006522 $  65,000
09/22/2001 1019368 $  80,000
10/08/2001 1033909 $  23,500
10/16/2001 1040603 $150,250
10/24/2001 1048973 $  82,000
11/09/2001 1064274 $128,200
11/28/2001 1077544 $161,000
12/07/2001 1085803 $  78,000
01/17/2002 1113826 $182,900
01/23/2002 1117838 $306,600
02/13/2002 1135645 $321,200
02/22/2002 1143346 $252,600

55. On or about the following dates, after receiving the following checks, totaling $1,831,250, WIRTH caused them to be endorsed and deposited them as follows:

Date Check no, Amount Bank Account no.
09/07/2001 1006522 $  65,000 First Union 1014227770179
09/22/2001 1019368 $  80,000 First Union 1014227770179
10/08/2001 1033909 $  23,500 First Union 1014227770179
10/16/2001 1040603 $150,250 First Union 1014227770179
10/24/2001 1048973 $  82,000 First Union 1014227770179
11/09/2001 1064274 $128,200 First Union 1014227770179
11/28/2001 1077544 $161,000 First Union 1014227770179
12/07/2001 1085803 $  78,000 First Union 1014227770179
01/17/2002 1113826 $182,900 First Union 2000003448502
01/23/2002 1117838 $306,600 First Union 2000003448502
02/13/2002 1135645 $321,200 First Union 2000003448502
02/22/2002 1143346 $252,600 First Union 2000003448502

56. On or about March 6, 2002, DOE caused Adelphia to make a check number 1152604, in the amount of $340,300 payable to Daniel Wirth and mail the check to WIRTH at #102, 1840 41st Avenue, Capitola, California.

57. On or about March 7, 2002, DOE met with employees of Adelphia to discuss the WIRTH invoices and was told not to return to his office until after an investigation into the invoices had concluded, although DOE retained a key co his office.

58. Following the March 7, 2002 meeting, after Adelphia employees initially searched DOE's office for any consulting contracts involving WIRTH, but did not find any contracts, DOE caused a consulting contract, listing WIRTH as the vendor, dated March 1, 2001, and bearing the forged signature of an Adelphia employee, to be discovered on top of other papers in a desk drawer, which had previously been searched.

59. On or about March 18, 2002, WIRTH deposited the $340,300 check mailed to him by Adelphia at First Union.

60. On or about April 24, 2002, DOE refinanced the mortgage on the residential property in Bethlehem, Pennsylvania with MNC Mortgage using the name "John Wayne Truelove" and a social security number and Pennsylvania drivers license issued in the name of "John Wayne Truelove."

61. On July 3, 2002, WIRTH falsely stated to an FBI special agent that he never knew DOE by any other name than "John Wayne Truelove," except for the nicknames "Jack" or "Toby."

62. On or about September 18, 2002, WIRTH caused a check in the amount of $309,334.83 to be drawn on the Linsco Private Ledger account in WIRTH's name and made payable to "Daniel Wirth."

63. On or about September 20, 2002, WIRTH caused a checking account to be opened at Comerica Bank-California in the name of "Daniel Wirth, Berliner Cohen, Trustee," with the deposit of the Linsco Private Ledger check in the amount of $309,334.83, dated September 18, 2002.

64. As of November 6, 2002, in records maintained by the Supreme Court of Pennsylvania, Continuing Legal Education Board, WIRTH identified a commercial mailbox, Suite 6Q, 1121 N. Bethlehem Pike, Spring House, Pa 19477 as his primary and secondary addresses, and identified as his primary phone 215 248-6909, a telephone number also used by DOE.

65. WIRTH and DOE obtained and used credit cards issued in the name of "John Wayne Truelove" by MBNA, American Express, AT&T Universal, Citibank, and Chase Manhattan Bank.

66. During the following periods, the conspirators WIRTH and DOE incurred credit card charges and balances in the following amounts on the AmeriChoice Credit Union, American Express (AMEX), AT&T Universal, and Chase Manhattan, CitiBank Platinum, and MBNA credit card accounts obtained in the name of "John Wayne Truelove";

Credit Card Period Amount
AmeriChoice 02/24/02 to 12/31/01 $  3,229.90
Amex Corporate 01/15/00 to 02/24/02 $  4793.28
Amex Blue 08/28/00 to 12/28/00 $19,843.85
Amex Corp. 12/16/99 to 10/15/01 $63,201.00
Amex Gold 11/15/99 to 12/15/00 $10,380.47
Amex Platinum 03/16/02 to 05/30/02  $    679.00
Amex Plus 12/15/00 to 07/12/02 $53,131.82
AT&T Uiversal 05/06/02 to 05/28/02 $    383.14
Chase 04/08/01 to 05/04/01 $    275.97
CitiPlatinum 04/23/02 to 05/20/02 $  2,124.49
MBNA 06/26/99 to 05/25/02 $13,923.78

67. On or about the following dates, DOE and WIRTH made the following credit card charges, among others, at the following locations, against MBNA and American Express (AMEX) credit card accounts issued in the name of "John Wayne Truelove":

Date Merchant Amount Location Card
01/15/01 Erway's restaurant $10.55 Croudersport, PA AMEX
Gayles Bakery $  9.45 Capitola, CA MBNA
Orchard Supply $37.95 Capitola, CA MBNA
K-Mart $42.09 Soquel, CA MBNA
01/17/01 Marriott Hotels $34.00 Amherst, NY AMEX
Walgreen $41.98 San Francisco, CA MBNA
Takken's Comfort Shoes $86.35 Hayward, CA MBNA
Wild Oats Market $  9.86 San Anselmo, CA MBNA
01/18/01 Don Pablos $28.00 Williamsville, NY AMEX
Staff of Life $13.05 Santa Cruz, CA MBNA
Gottschalks Village $247.81 Watsonville, CA MBNA
01/19/01 Avis $292.88 Philadelphia, PA AMEX
  Staff of Life $10.24 Santa Cruz, CA MBNA
  Staff of Life $66.64 Santa Cruz, CA MBNA
01/23/01 Mosch's Country Inn $46.00 Croudersport, PA AMEX
  Staff of Life $23.84 Santa Cruz, CA MBNA
  Gayle's Bakery $  9.48 Capitola, CA MBNA
  Ristorante Italiano $16.95 Santa Cruz, CA MBNA
  Long's Drug Store $28.81 Capitola, CA MBNA
01/27/01 Mobil Oil $24.74 Williamsville, NY AMEX
  Gayle's Bakery $  7.51 Capitola, CA MBNA
  Beacon $28.50 Santa Cruz, CA MBNA
01/29/01 Ambrosia $27.40 Buffalo,. MY MBNA
  Chinese Village $13.80 Santa Cruz, CA AMEX
01/05/02 Exxon/Mobil $19.50 Harrisburg, PA AMEX
  Boca Diner $18.98 Boca Raton, FL MBNA
01/06/02 Exxon/Mobil   1.58 Williamsville, NY AMEX
  Borders Books & Music $42.35 Ft. Lauderdale, FL MBNA
01/09/02 Galyan's $47.49 Buffalo, NY AMEX
  Relax the Back $63.55 Boca Raton, FL MBNA

68. Using checks drawn on the AmeriChoice Credit Union account opened in the name of "John Wayne Truelove," DOE made payments on the MBNA account used by WIRTH in California and other places

69. In or around January 2000, WIRTH applied for and rented an apartment at the Swan Lake Apartments in Santa Cruz, California, using the name "John Wayne Truelove."

70. After the deaths of Jeffrey Wayne Hessler and Julius and Vivian E. Wirth, on or about May 26, 1999, the conspirators opened a savings account at Ulster Savings in the name "Jeffrey Hessler" with an initial deposit of $260.00, using the date of birth of and a social security number issued for Jeffrey Wayne Hessler.

71. On or about December 1, 1999, following the deaths of Julius and Vivian Wirth and Jeffrey Wayne Hessler, the conspirators caused a commercial mailbox to be opened in the name of Vivian Wirth, at #146, New Windsor, New York, 12553, a commercial mail box receiving center, ~o~ as The UPS Store and formerly as Mail Boxes ETC.

72. In causing the commercial mailbox to be opened in the name of Vivian Wirth after her death, the conspirators listed a home address for Vivian Wirth, specifically 875 Saw Mill River Road, Ardsley, New York 10502, the address for Post Office Box 502 opened by DANIEL WIRTH.

73. On or about May 25, 2000, following the deaths of Julius and Vivian Wirth, the conspirators caused the bank statements and other correspondence concerning the HSBC account in the name of Vivian and Julius Wirth to be directed to a new address, the commercial mail receiving center at #146, New Windsor, New York, 12553, known as The UPS Store and formerly Mail Boxes ETC; bank statements for that account previously had listed the address as P.O. Box 502, 875 Saw Mill River Road, Ardsley, New York, the post office box opened by DANIEL WIRTH.

74. After the deaths of Jeffrey Wayne Hessler and Julius and Vivian E. Wirth, on or about the following dates, the conspirators wrote the following checks drawn on the account of Vivian and Julius Wirth at HSBC (formerly Republic National Bank), which were later deposited into the savings account at Ulster Savings, opened in the name "Jeffrey Hessler,":

Date Amount
May 27, 1999 $8,000.00
August 27, 1999 $9,000.00
February 20, 2000 $7,200.00
November 27, 2000 $7,200.00
January 10, 2002 $9,200.00

75. After the deaths of Jeffrey Wayne Hessler and Julius and Vivian E. Wirth, on or about the following dates, the conspirators deposited into the savings account at Ulster Savings, opened in the name "Jeffrey Hessler," the following checks drawn on an HSBC account in the name of Vivian Wirth:

Date Amount
June 3, 1999 $8,000.00
August 28, 1999 $9,000.00
January 12, 2002 $9,200.00

76. After the deaths of Jeffrey Wayne Hessler and Julius and Vivian E. Wirth, on or about the following dates, the conspirators withdrew from the savings account at Ulster Savings. opened in the name "Jeffrey Hessler." the following amounts:

Date Amount
June 17, 1999 $2,500.00
June 21, 1999 $2,000.00
July 26, 1999 $1,500.00
October 8, 1999 $4,500.00
October 22, 1999 $4,600.00
December 1, 1999 $2,200.00
May 20, 2000 $3,500.00
June 10, 2000 $3,700.00
May 5, 2001 $2,000.00
July 28, 2001 $2,000.00

77. After the deaths of Jeffrey Wayne Hessler and Julius and Vivian E. Wirth, on or about January 22, 2002, the conspirators opened a checking account at Ulster Savings in the name of "Jeffrey Hessler," using the date of birth of and a social security number issued for Jeffrey Wayne Hessler.

78. After the deaths of Jeffrey Wayne Hessler and Julius and Vivian E. Wirth, on or about January 12/ 2002, the conspirators transferred $12,495.00 from the savings account at Ulster Savings, opened in the name "Jeffrey Hessler," to the Ulster Savings checking account, opened in the name of "Jeffrey Hessler."

79. After the deaths of Jeffrey Wayne Hessler and Julius and Vivian E. Wirth, on or about the following dates, the conspirators made the following automatic teller machine ("ATM") or cash withdrawals from the checking account at Ulster Savings opened in the name "Jeffrey Hessler:"

Date Transaction Amount
January 21, 2002 ATM (Warsaw, NY) $  101.00
January 21, 2002 ATM (Warsaw, NY) $  401.50
April 8, 2002 ATM (Center Valley, NY) $  501.75
May 7, 2002 Cash withdrawal $2,000.00
May 8, 2002 ATM (Center Valley, NY) $  502.00
May 17, 2002 Cash withdrawal $2,000.00
May 17, 2002 ATM (New Paltz, NY $  501.00

80. On or about May 28, 2002, DOE told FBI agents during an interview that his name was John Wayne Truelove, that his social security number was 378-92-7197, and that he was born in Connecticut.

81. On or about May 28, 2002, during an interview by FBI agents, DOE produced a Pennsylvania drivers license in the name of John Wayne Truelove with an address of 634 York Road, Apartment 138, Warminster, Pa., a commercial mail box at a commercial mail receiving facility.

82. On or about October 1, 2002, WIRTH moved out of the apartment at the Swan Lake Apartments in Santa Cruz, California, that had been rented in the name of John Wayne Truelove.

83. On or about December 9, 2002, at the arraignment on the initial indictment in this case, DOE stated that his correct name is Josepf Steve Horvath.

84. The grand jury incorporates by reference herein as additional overt acts the remaining counts of the indictment.

All in violation of Title 18, United States Code, Section 371.

THE GRAND JURY CHARGES

COUNTS TWO THROUGH FOURTEEN
Mail Fraud
18 USC § 1341

1. The Grand Jury realleges and incorporates herein as if set forth in full the Introduction and the preceding count of this Indictment.

2. From in or around January 1983 and continuing to on or about the date of this Superseding Indictment, in Potter County, within the Middle District of Pennsylvania, and elsewhere, the defendants,

JOHN DOE (FBI No.034055NA9), aka
John Wayne Truelove
Joseph Wayne Hessler,
Jeffrey Waynee Hessler,
Josepf Steven Horvath
Dr. James Royce.
and
DANIEL WIRTH

devised and intended to devise a scheme and artifice to defraud and for obtaining money and property from Adelphia Communications Inc., totaling $2,171,550, by means of false and fraudulent pretenses, representations, and promises.

3. It was a part of the scheme and artifice that the defendants employed the manner and means set forth in Count One.

4. On or about the following dates, the defendants, JOHN DOE (FBI No.034055NA9) and DANIEL WIRTH, for the purpose of executing, and attempting to execute, the scheme and artifice, did knowingly cause to be delivered by mail to a mailbox center at #102, 1840 41st Avenue, Capitola. California 95010, the following checks, payable to Daniel Wirth in the following amounts:

Count Check Date Check Number Check Amount
2 09/07/2001 1006522 $  65,000
3 09/22/2001 1019368 $  80,000
4 10/08/2001 1033909 $  23,500
5 10/16/2001 1040603 $150,250
6 10/24/2001 1048973 $  82,000
7 11/09/2001 1064274 $128,200
8 11/28/2001 1077544 $161,000
9 12/07/2001 1085803 $  78,000
10 01/17/2002 1113826 $182,900
11 01/23/2002 1117838 $306,600
12 02/13/2002 1135645 $321,200
13  02/22/2002 1143346 $252,600

or more, knowing the same to have been stolen, converted or taken by fraud:

Count Check Date Check Number Check Amount
15 09/07/2001 1006522 $  65,000
16 09/22/2001 1019368 $  80,000
17 10/08/2001 1033909 $  23,500
18 10/16/2001 1040603 $150,250
19 10/24/2001 1048973 $  82,000
20 11/09/2001 1064274 $128,200
21 11/28/2001 1077544 $161,000
22 12/07/2001 1085803 $  78,000
23 01/17/2002 1113826 $182,900
24 01/23/2002 1117838 $306,600
25 02/13/2002 1135645 $321,200
26 02/22/2002 1143346 $252,600
27 03/06/2002 1152604 $340,000

All, in violation of Title 18, United States Code, Section 2314 and 2.

THE GRAND JURY FURTHER CHARGES

COUNT TWENTY-EIGHT
False Statements in Loan Applications
18 U..S.C. § 1014

1. The Grand Jury hereby incorporates by reference, as though set forth fully herein, the Introduction section and the preceding counts of this Superseding Indictment.

2. On or about July 22, 1998, in Cumberland County, within the Middle District of Pennsylvania, and elsewhere, the defendant

JOHN DOE (FBI No.034055NA9), aka
John Wayne Truelove
Joseph Wayne Hessler,
Jeffrey Waynee Hessler,
Josepf Steven Horvath
Dr. James Royce.

did knowingly make false statements and reports about the identity, date of birth, and social security number of the loan applicant, for the purpose of influencing AmeriChoice Federal Credit Union concerning an application for a credit card account and credit line in the amount of $10,000.

All in violation of Title 18, United States Code, Sections 1014 and 2.

THE GRAND JURY FURTHER CHARGES

COUNT TWENTY-NINE
False Statements in Loan Applications
18 U..S.C. § 1014

1. The Grand Jury hereby incorporates by reference, as though set forth fully herein, the Introduction section and the preceding counts of this Superseding Indictment.

2. On or about December 23, 1998, in Cumberland, County, within the Middle District of Pennsylvania, and elsewhere, the defendant

JOHN DOE (FBI No.034055NA9), aka
John Wayne Truelove
Joseph Wayne Hessler,
Jeffrey Waynee Hessler,
Josepf Steven Horvath
Dr. James Royce.

did knowingly make false statements and reports about the identity, birth date, and social security number of the loan applicant, for the purpose of influencing AmeriChoice Federal Credit Union concerning a car loan in the amount of $33,725.26 for a 1999 Jeep Cherokee.

All in violation of Title 18, United States Code, Sections 1014 and 2.

THE GRAND JURY FURTHER CHARGES

COUNTS THIRTY THROUGH THIRTY-FOUR
Fraud in Connection with Identification
Documents/Information
18 U..S.C. § 1028(a)(7)

1. The Grand Jury hereby incorporates by reference, as though set forth fully herein, the Introduction section and the preceding counts of this Superseding Indictment.

2. On or about the following dates, in Potter, Dauphin and Cumberland Counties, within the Middle District of Pennsylvania, and elsewhere, the defendant

JOHN DOE (FBI No.034055NA9), aka
John Wayne Truelove
Joseph Wayne Hessler,
Jeffrey Waynee Hessler,
Josepf Steven Horvath
Dr. James Royce.

did knowingly transfer and use, without lawful authority, the means of identification of another person, to wit: the name John Wayne Truelove, social security number 378-92-7197, and date of birth September 6, 1954, with the intent to commit and to aid and abet the commission of unlawful activities constituting a violation of Federal law, that is the offenses set forth in this superseding indictment, under circumstances affecting interstate commerce and involving the mailing of means of identification and false identification documents:

Count Date Transfer/Use of
Means of Identification
30 09/05/98 to 09/30/02 Application, Processing, and Issuance of Pennsylvania Drivers License
31 07/22/98 Credit Card Application at AmeriChoice Federal Credit Union
32 12/23/98 to 06/12/01 Car Loan at AmeriChoice Federal Union
33 08/02/99 Adelphia New Hire Payroll Form
34 08/22/09 IRS Form W-4 Employee's Withholding Allowance Certificate

All in violation of Title 18, United States Code, Sections 1028(a) (7) and 2.

THE GRAND JURY FURTHER CHARGES

COUNT THIRTY-FIVE
Criminal Forfeiture 18 U.S.C. 982
18 U..S.C. § 1028(a)(7)

1. The allegations of Counts One through Thirty-four of this Superseding Indictment, each being punishable by a term of imprisonment in-excess of one year, are hereby incorporated by reference as though fully set forth herein.

2. The personal property listed below constitutes and is derived from proceeds obtained directly or indirectly as the result of such offenses, and the personal property listed below constitutes and is derived from property involved in the commission of such offenses, and constitutes substitute assets:

(a) All funds on deposit in First Union account number 2000003448502, opened in the name of defendant DANIEL WIRTH as a business high performance money market account;

(b) All funds on deposit in First Union account number 2000003448531, opened in the name of defendant DANIEL WIRTH as an operating account;

(c) All funds on deposit in First Union account number 1014227770179, opened in the name of defendant DANIEL WIRTH as a custom checking account;

(d) All funds on deposit in Comerica-California account number 1892274240, opened in the name of defendant DANIEL WIRTH and Berliner Cohen, Trustee as a checking account;

(e) All funds on deposit with the Clerk of Court, Middle District of Pennsylvania that were posted as bail by DANIEL WIRTH in the matter of United States of America v. Daniel WIrth, 4:CR-02-0256-02;

(f) All funds on deposit in savings account 382155612 at Ulster Savings, opened in the name of Jeffrey Hessler;

(g) All funds on deposit in Ulster Savings checking account 392020923, opened in the name of Jeffrey Hessler;

(h) All funds on deposit in Wachovia (First Union) joint account number 1010055585831 of Harold Vogt and Toni Wirth Vogt.

(i) 2000 Jeep Grand Cherokee; Four Wheel Drive, Four Door, Limited, VIN IJ4GW58N7YC212313

(j) $3,541,967 in United States currency;

(k) Substitute Assets.

By virtue of the commission of the offenses charged in Counts One through Thirty-four of this Superseding Indictment by the defendants,

JOHN DOE (FBI No.034055NA9), aka
John Wayne Truelove
Joseph Wayne Hessler,
Jeffrey Waynee Hessler,
Josepf Steven Horvath
Dr. James Royce.
and
DANIEL WIRTH,

any and all right, title and interest the defendants may have had in the above-described personal property is vested in the United States and is hereby forfeited to the United States pursuant to Title 18, United States code, Section 981(a) (1) (C), as incorporated by Title 28 United States Code, Section 2461(c), pursuant to Title 18 United States Code, Section 982, and pursuant to Title 21, United States Code, Section 853.

In the event that any of the personal property involved in the offenses alleged above in Counts One through Thirty-four of this Superseding Indictment or traceable to such property, or any property constituting or derived from proceeds of such offenses, as a result of any act or omission of either or both of the defendants:

(a) cannot be located upon exercise of due diligence,
(b) has been transferred, sold to, or deposited with a third party,
(c) has been placed beyond the jurisdiction of the Court,
(d) has been substantially diminished in value, or
(e) has been comingled with other property which cannot be divided without difficulty, the United States demands the forfeiture of other property of the defendant up to the value of $3,551,616, pursuant to Title 21, United States Code, Section 853(p).

A TRUE BILL
 
 
___________________
Foreman
Date 02-12-04
 
 
___________________
Thomas A. Marino
Unites States Attorney

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