3 men focus of veterans charity scam
Officials: 3 men focus of veterans charity scam
By Mitch Weiss and Russ Bynum - The Associated Press
Posted : Thursday Mar 14, 2013 9:09:04 EDT
JACKSONVILLE, Fla. — Authorities in Florida say three men are at the center of a scandal involving a purported veterans charity that law enforcement officials say was a $300 million front for illegal gambling.
Jacksonville lawyer Kelly Mathis was identified by authorities Wednesday as the mastermind of the alleged racketeering scheme, which led to charges this week against nearly 60 people. Two other men, Johnny E. Duncan and Jerry Bass, were called “co-conspirators” of the operation by officials.
Authorities alleged that Mathis made about $6 million from the operation. During a news conference Wednesday, Florida Attorney General Pam Bondi unveiled a poster with a photo of Mathis, linked to dozens of alleged gambling operations. Officials say he was the registered agent for 112 businesses related to the investigation, which was handled by federal, state and local law enforcement agencies.
“Kelly Mathis ... appears to be the commonality of those who were arrested,” Florida Department of Law Enforcement Commissioner Gerald Bailey said.
The organization under investigation — Allied Veterans of the World — ran more than 40 Internet parlors offering computer games of chance, until this week.
Authorities said the organization’s executives gave precious little to veterans and lavished millions on themselves, spending it on boats, real estate and Maseratis, Ferraris and Porsches.
Bondi called the alleged scam “callous” and “despicable” and said it “insults every American who ever wore a military uniform.”
The scandal has led to the resignation of Lt. Gov. Jennifer Carroll, a Republican who once co-owned a public relations firm that worked for Allied Veterans. She has not been charged with any wrongdoing, but she resigned a day after she was questioned by investigators. She said she didn’t want her ties to the organization to be a distraction for Republican Gov. Rick Scott’s administration and that she was cooperating with the probe.
http://www.armytimes.com/news/2013/03/ap-officials-say-florida-lawyer-center-veterans-scam-031413/