May 22, 2019 08:03 PM
BUFFALO, N.Y. (WHEC) — Federal prosecutors have indicted one of the most prominent real estate developers in the Rochester area and western New York.
In federal documents filed Wednesday morning, Bob Morgan of Morgan Management was indicted on 45 counts including charges of conspiracy to commit wire and bank fraud and money laundering.
The indictment claims Morgan, his son Todd Morgan, Frank Giacobbe, and Michael Tremiti falsified and inflated construction contracts to get better deals.
Morgan pleaded not guilty in federal court Wednesday. He was released on $100,000 bond and has to surrender his passport. His lawyer told the court Wednesday that charges from the Securities and Exchange Commission are possible.
Read the indictment in its entirety below:
The indictment comes a week after Scott Cresswell, the former COO of Morgan Management, pleaded guilty to conspiracy to commit wire fraud. Mortgage broker Patrick Ogiony and Morgan's nephew Kevin Morgan, a vice president at the company, both admitted to conspiracy to commit bank fraud last year.
Todd Morgan, a project manager at Morgan Management, and Giacobbe, the owner and operator Aurora Capital Advisors, have pleaded not guilty and are awaiting trial on federal fraud charges.
The city's Communications Director Justin Roj. released the following statement regarding Bob Morgan's indictment:
"The City is, of course concerned regarding the ongoing projects related to Mr. Morgan, and will continue to make sure he meets his obligations to our taxpayers. However, Rochester is poised for growth and has a robust development community. We will work with our business leaders to ensure that our City's tremendous progress continues as we create more jobs; safer, more vibrant neighborhoods and greater educational opportunities."
News10NBC's Chief Investigative Reporter Berkeley Brean is in Buffalo. Follow him on Twitter for the latest developments.
Story in :60— Berkeley Brean (@whec_bbrean) May 22, 2019
A quick update on developer Bob Morgan in federal court in Buffalo. I just saw him in the building. Note: thousands of people live in Morgan owned and operated apartments in Rochester, Buffalo, Syracuse and PA. @news10nbc pic.twitter.com/BWl69RBLGr
Updated: May 22, 2019 08:03 PM
Created: May 22, 2019 12:01 PM
Copyright 2019 - WHEC-TV, LLC A Hubbard Broadcasting Company