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Four plead guilty in sports fraud case
By Joe Gorman
YOUNGSTOWN
Four men entered guilty pleas Friday in Mahoning County Common Pleas Court for their roles in a sports-memorabilia fraud case that prosecutors said raked in between $1.5 million and $2.5 million.
Judge Maureen Sweeney accepted pleas of guilty to bills of information by James Serenko, 33, of Austintown; Jason Lenzi, 31, of Columbiana: Daniel Martini, 29, of Girard and the owner of The Federal, previously known as Martini Brothers Burger Bar downtown; and Shawn Pelo, 26, of Warren.
Martini pleaded guilty to a bill of information charging money laundering. The other three men pleaded guilty to charges of engaging in a pattern of corrupt activity.
Martini’s bar recently was the subject of the cable television show “Bar Rescue,” in which a restaurant and hospitality expert visits the bar and gives it a makeover. The show that focuses on Martini’s bar, which airs on Spike TV, has yet to be broadcast.
Probation is recommended for all four men with the stipulation that they cooperate with police in their investigation.
Assistant Prosecutor Martin Desmond said there are at least five more people, including the leader of the ring, who have yet to be charged.
The investigation into the ring has been ongoing between Canfield police and the FBI for at least three years. The ring has been in operation for at least five years, Desmond said.
The members are accused of selling fake autographs of sports personalities on the Internet through eBay accounts. They would sell autographed pictures, balls or other types of memorabilia.
Desmond said Martini allowed the members to use an eBay account in his name, then he took the money out of the account and gave it to the leaders of the ring.
Desmond would not say what tipped authorities off to the fake signatures.
“These are the individuals who are more at the bottom point of the organization,” Desmond said.
Desmond said people who participated in the ring used multiple eBay accounts. He said they paid some people to use their accounts. Others may have had their accounts used but did not know about the forged signatures. They needed several accounts because eBay will flag someone who has too many accounts, Desmond said.
“They used a wide variety of schemes to get eBay accounts,” Desmond said.
Desmond said the forgeries were excellent and in most cases, someone would not know they had a forged item.