A Few Things Seized

Here's a link to a document which list those things seized by the government in March/April 2012 as part of the forfeiture of property by a few involved in the Ponzi scheme.

PROPERTY SEIZED IN EARLY 2012

TIffiny Thompson Incarcerated at "Camp Cupcake"

TIFFINY THOMPSON has been incarcerated at Federal Prison Camp (FPC) Alderson and is scheduled for release on December 8, 2016.  She is not eligible
for parole.

As a little background on her current address -
The Federal Prison Camp, Alderson (FPC Alderson) is a minimum-security
federal prison for female inmates and is located in West Virginia.  It is a 159-acre facility.  While there is no barbed wire on the fence surrounding the camp, the prisoners have schedules and each one is required to work.  Inmates get holidays off except those who work in the powerhouse and kitchen.  It focuses on on vocational training and "personal growth experiences", with a craft-shop.  According to the internet, free time is spent walking around the sidewalk that is set between the two dorms as this is within bounds for the inmates.  Since 2004 inmates are no longer free to roam the entire campus and are restricted in areas of
the prison. They also play recreational activities such as volleyball.

Most of the inmates at FPC Alderson have been convicted of non-violent
or white-collar crime. Many are in the drug program and have come from
other prisons to attend the program at Alderson. They sleep in bunk
beds in two large dormitories.  The dormitories hold 500 plus inmates a
piece. Each inmate sleeps in a 5-by-9-foot cinderblock cube inside of this open dormitory.

The prison was nicknamed "Camp Cupcake" by members of the news media
when Martha Stewart was sentenced to a five-month term there.  Local residents have also referred to it as "the college campus."  It was called "Yale" by one-time attendee Martha Stewart.

Tiffiny Thompson Sentenced

Another quick note.  Tiffiny Thompson was sentenced to incarceration of 1 year 9 months, followed by supervised release of 3 years, and a special assessment of $100.00.  Don't ask me what a "special assessment" is but I believe that all of the defendants received one of some magnitude.

As a noteworthy statement, we received notice of the handling of restitution.  It stated, "While the Court has ordered restitution in this case, it does not mean the defendant(s) will make restitution payments. In the event restitution payments are received from the defendant, the funds will be distributed by the Clerk of the United States District Court."  Make of that what you will; however, it appears that it's a way of saying 1) we're not optimistic on the amount of restitution and 2) it will be distributed based on the manner that the Clerk determines.

Original Indictment Against Joyce Allen & Sharon Kay Thomas

Here's a link to the original indictment against Joyce Allen & Sharon Kay Thomas for those who simply have an interest.

Indictment

Joyce Allen and Brian Murphy are in Prison, etc.

Here's another update on a few of the defendants (now criminals) involved in the Ponzi scheme.

Sharon Kay Thomas was sentenced by the court and the following was ordered: 
She was incarceration of 2 year(s) 1 month(s), followed by supervised release of for 2 years, and a special assessment of $100.00. 

Brian Murphy in the meantime is currently incarcerated at BOP - FCI Talladega and is scheduled for release on August 3, 2018. He is not eligible for parole. 

Likewise, Joyce Allen is currently incarcerated at BOP - FCI Aliceville and is scheduled for release on June 7, 2041. She is not eligible for parole.  Based on this sentence and her age, Joyce Allen will serve the remainder of her life in prison.

Joyce Allen

Finally!

This is the sentencing that so many were waiting for.  I imagine the anticipation preceding this sentencing was due to the fact that so many people dealt with Joyce Allen directly and feel betrayed in such a deep way.

Joyce Allen

I won't post all of the information but I will provide a couple of links for those interested.  The summary is that Joyce Allen was sentenced to 30 years in prison and ordered to pay $20,711,371.72 in restitution.  She was also ordered to pay the same amount in cash - which to be honest is a little of a mystery to me but I'm sure it will all become clear in the near future.

Here's the information available now -

The Chattanoogan

The Daily Times

Paulynn Wright's Prison Release Date

Just a little heads up - Paullynn Wright will be released on May 29, 2015 from prison. The records show that she will reside in Knoxville, Tennessee upon release and will be on supervised probation.

Paulynn Wright

Paulynn Kay Wright was a loan officer for several Knoxville mortgage companies and reached a plea agreement via her attorney, Chris Irwin.  According to the plea agreement she was described as her role was described as falling between a "minimal participant" and a "minor participant."

In September 2008, she obtained a $128,000 mortgage loan by falsely stating she had an investment with Benchmark Capital Investments LLC.  The information was in a bogus verification letter she obtained in cooperation with Joyce Allen, Kay Thomas and Dona Rector.

Sharon Thomas Sentenced: 25 months and $1.5M +

According to The Daily Times, the assistant to convicted investment scheme "con artist" Joyce Allen received a 25-month sentence in U.S. District Court Tuesday, March 24th in line with prosecutors’ recent recommendation for a slight sentence reduction.  In addition, Sharon Kay Thomas was also sentenced to two years of supervised release after her prison term has been served.  Judge Thomas Varlan also ordered her to pay restitution of $1,583,172.

I'm sure that most of those reading this blog know that Sharon Thomas was an assistant to Joyce Allen who was convicted last September on several counts of fraud and money laundering relating to the Benchmark Capital ponzi scheme.

You can read more on this at The Daily Times .

Sharon Thomas

Tiffiny Thompson's Sentencing Postponed (Again)

Not much action lately other than Tiffiny Thompson's sentencing hearing that was scheduled for March 25, 2015 has been rescheduled for April 25, 2015, 2:00 PM at Courtroom 4 - Knoxville, Federal Courthouse, 800 Market St., Suite 130, Knoxville, TN before Judge Thomas Varlan.

It seems obvious that something is going on between the defendants lawyers and the Federal DA, but what that is we're not certain.  Hopefully and prayerfully we want this to be justice for all involved.  Right now though it's a time for more waiting.

Tiffiny Thompson

Hearing Concerning Restitution & Details on the Loses

Brian Murphy -

The sentencing hearing for Brian Murphy has been set for March 24, 2015, 11:00 AM at Courtroom 4 - Knoxville, Federal Courthouse, 800 Market St., Suite 130, Knoxville, TN before Judge Thomas Varlan.

This is a continuation of his initial sentencing. This hearing is being held to order restitution to be paid by him.

Joyce Allen -


The sentencing hearing for Joyce Allen has been set for April 20, 2015, 02:00 PM at Courtroom 4 - Knoxville, Federal Courthouse, 800 Market St., Suite 130, Knoxville, TN before Judge Thomas Varlan.

Additionally, a spreadsheet showing net loss amounts for each victim who suffered losses in this case has been provided for downloaded on the government Victim Notification System website.

Paulynn Wright is Incarcerated

It appears that Paulynn Wright has started servicing her sentence and is currently incarcerated at Bureau of Prisons (BOP) - Federal Correctional Institution (FCI) Aliceville. She's scheduled for release on May 29, 2015 and isn't eligible for parole. I happened to find a little information on FCI Aliceville.

The Federal Correctional Institution, Aliceville (FCI Aliceville) is a medium-security United States federal prison for female inmates in Alabama. It is operated by the Federal Bureau of Prisons, a division of the United States Department of Justice. It also includes a satellite prison camp for minimum-security female inmates. FCI Aliceville is located in Pickens County, between Aliceville and Pickensville. It is approximately 55 miles southwest of Tuscaloosa, Alabama and 35 miles southeast of Columbus, Mississippi.

I am assuming that since the notification of her incarceration stated she was in the FCI Aliceville, that she is not house in the satellite prison camp. As a minimum security facility, FCI - Aliceville Satellite Prison Camp has dormitory housing. The prisoners are classed as low level risk and has no perimeter fencing.
That's the extent of what I know of Paulynn Wright's incarceration.  By the grace of God our freedom from the pain of this crime is slowly gaining hold.  God provides.

Sentencing for Joyce Allen and Tiffiny Thompson

Just a quick update on a couple of sentencing hearings. The sentencing previously scheduled for Joyce Allen on February 2, 2015 has rescheduled for February 23, 2015, 9:30 AM at Courtroom 4 - Knoxville, Federal Courthouse, 800 Market St., Suite 130, Knoxville, TN before Judge Thomas Varlan. Also, the sentencing hearing for Tiffiny Thompson has been set for March 25, 2015, 2:00 PM at Courtroom 4 - Knoxville, Federal Courthouse, 800 Market St., Suite 130, Knoxville, TN before Judge Thomas Varlan.

Sharon Thomas Sentencing Rescheduled

For those who haven't heard, the sentencing previously scheduled for Sharon Kay Thomas on January 22, 2015 has been has been rescheduled by the court and is set for March 24th at 2:00 PM. Other than a new date, all other details of the sentencing remain the same.

.....and so it continues.

Brian Murphy Sentenced

Here's some information recently posted on the Department of Justice website.  It appears some much more significant sentencing has entered the picture. However, it is yet to be seen whether any actual restitution will be witnessed by the victims.

KNOXVILLE, Tenn. - Brian Murphy, 43, of Knoxville, Tenn., was sentenced on January 8, 2015, to serve 45 months in prison by the Honorable Thomas A. Varlan, Chief U.S. District Judge. Murphy was also ordered to pay $18 million in restitution to the victims in the case.

Murphy pleaded guilty in August 2014, to a federal indictment charging him with conspiracy to commit mail and wire fraud. The indictment arose out of Murphy’s participation with Joyce Allen and the late Charles Candler in the operation of a business known as Benchmark Capital, which was discovered to be a Ponzi scheme that financially ruined many of its hundreds of victims. Candler, Allen, Murphy and others vouched for the soundness of investment annuities they sold when in fact they were worthless.

Brian Murphy

The indictment and subsequent conviction of Murphy was the result of a three-year investigation conducted by the Internal Revenue Service, U.S. Postal Inspection Service, and Federal Bureau of Investigation. Assistant U.S. Attorneys Frank Dale and Jennifer Kolman represented the United States.

Sentencing Hearing For Joyce Allen & New Trial Denied

Just to keep everyone posted, the sentencing previously scheduled for Joyce Allen on February 17, 2015 was concelled and rescheduled for February 2, 2015, 09:30 AM at Courtroom 4 - Knoxville, Federal Courthouse, 800 Market St., Suite 130, Knoxville, TN before Judge Thomas Varlan. Also, here's a summary of what was posted in The Daily Times, Maryville, TN

.... A Blount County accountant convicted in a multi-million dollar fraud scheme will not get a new trial, a federal judge ruled on Wednesday, December 31, 2014. Joyce Elaine Allen, 66, of Alcoa, was seeking another trial after a jury convicted her on numerous counts of wire fraud, mail fraud and money laundering for her role in a fraud scheme centered around the now defunct Benchmark Capital Inc. The owner of J. Allen & Associates in Louisville, Allen was convicted by a jury on Sept. 22 following a two-weeklong trial in Knoxville’s U.S. District Court. Chief U.S. District Judge Thomas A. Varlan issued a ruling on Wednesday denying a defense motion for a new trial filed two weeks after Allen’s conviction. (By the way, we heard nothing of this motion from the Victims Notification System. Honestly, wouldn't you think that this was worthy of noitifying the victims?) Allen is scheduled for sentencing at 10 a.m. Feb. 17 and could face up to life in prison. She was convicted on one count of conspiracy to commit mail and wire fraud, one count of conspiracy to commit wire fraud, two counts of conspiracy to commit money laundering and six counts of issuing fraudulent securities. ....Investors put more than $42.6 million into the fraud scheme, resulting in losses of more than $18 million, according to court documents. In asking for a new trial, the defense argued the evidence presented at trial supported Allen’s claims she didn’t know Benchmark Capital was a Ponzi scheme and was even duped herself. In his ruling, Varlan rejected these arguments and said Allen’s conviction did not constitute a miscarriage of justice. (This victim thanks you Judge Varlan!)

Five have taken plea deals, Allen was the only defendant among five others who did not take a plea agreement and instead proceeded to trial. Knoxville resident Dona Rector, a loan officer with Benchmark Capital, was sentenced in October to two years of probation after pleading guilty to conspiracy to commit mail and wire fraud. Paulynn Wright, another loan officer, was sentenced Dec. 3 to four months in prison followed by two years of supervised release. Varlan ordered Wright spend four months of her supervised release under house arrest. Sentencing hearings for the remaining three defendants are scheduled this month. Brian Murphy, who helped start Benchmark Capital Inc. in 2001, pleaded guilty in August to conspiracy to commit mail and wire fraud. His sentencing is set for Jan. 8 at 2 p.m. Sharon Kay Thomas, Allen’s associate at J. Allen & Associates, pleaded guilty in September to conspiracy to commit money laundering. She’s scheduled for sentencing at 10 a.m. Jan. 22. Tiffiny Thompson, a manager in Benchmark Capital Inc.’s Knoxville office, pleaded guilty in June to a count of conspiracy to commit mail and wire fraud. She’s scheduled for a 10 a.m. Jan. 28 sentencing.