Frank Miller, former president of defunct compounder Gitto Global Corp., was sentenced March 15 to more than seven years in jail on fraud-related charges.
Judge Dennis Saylor sentenced Miller to seven years and three months in federal prison after Miller pleaded guilty to charges of conspiracy, bank fraud and wire fraud. Miller was sentenced in U.S. District Court in Worcester, Mass.
Miller, 61, had faced a sentencing guideline minimum of 10 years and one month in jail, but Saylor reduced that term since Miller cooperated with U.S. attorneys, according to a March 15 article in the Worcester Telegram & Gazette.
Miller, co-owner Gary Gitto and four other Gitto Global executives were indicted in September 2008 after a lengthy investigation of financial crimes that took place at the Lunenburg, Mass.-based firm between 1998 and 2004.
Gary Gitto has pleaded guilty to similar charges and is scheduled to be sentenced April 1. Charles Gitto Jr., father of Gary Gitto, was dismissed from the case in November after prosecutors filed a motion saying that, based on a medical determination, Charles Gitto no longer was able to understand the charges brought against him.
In a 2004 bankruptcy filing, Gitto Global said it owed LaSalle Business Credit LLC of Chicago almost $30 million. Other media reports stated that National Bank of Canada also was owed more than $20 million.
In court testimony March 11, an accountant working with the court said that Gary Gitto had taken $2.9 million from the firm between 2002 and 2004. Charles Gitto had taken $2 million during that period, with Miller taking a little under $1 million, the accountant said.