Security Company Chairman Sentenced to 10 Years
MIAMI (AP) _ The founder of a security company contracted by the 1988 Republican and Democratic national conventions was sentenced Friday to 10 years in prison for inventing millions in fictitious billings.
Sahlen & Associates Inc. collapsed in 1989 amid questions about its annual revenues, which climbed from $459,000 to $55 million in five years. Investigators determined much of that money wasn’t real.
Founder and chairman Harold F. Sahlen Jr., of Boca Raton, pleaded guilty last September to 29 federal fraud and conspiracy charges. Two subordinates and an outsider were convicted in a jury trial.
Assistant U.S. Attorney Martin Goldberg argued for a 12-year term for Sahlen. Defense attorney Paul Murphy noted Sahlen accepted responsibility with his plea.
The company sent fictitious bills to accounts receivable to generate paper profits ″to create an illusion of success,″ fooling both lenders and investors, prosecutors charged.
The company’s chief financial officer, Nelson Logal, also of Boca Raton, was sentenced to seven years and three months for his role in the scheme.