Chinese Charity Organisation In Illegal Gambling InvestigationDecember 29, 2010 9:37 am
Following an ongoing investigation by the FBI and IRS, at least twelve bank accounts have been frozen with alleged illegal gambling links to the nonprofit organisation, the ‘Overseas Chinese Association Center.’
Originally the organisation was granted the right to run legal bingo games in return for the funds raised then going towards charitable causes. However, the practices of the ‘Overseas Chinese Association Center’ are now being investigated with authorities alleging that as well as bingo, money was raised through illegal gambling which was then used for private gain.
According to court documents, feds could only find $42,000 of the more than $400,000 the organisation claimed was paid to charities over the past two years. Instead, investigators are claiming that companies such as RJT, Inc. and DT&L Investments, Inc were used to launder money and divert funds away from the charity.
“A review of bank records obtained by a grand jury subpoena suggest that Overseas Chinese Association Center is only making sporadic payments in an amount well below what is being reported to the Guam Department of Revenue and Taxation,” read an affidavit sworn by IRS Special Agent Todd Peterson.
The dozen or so accounts which have subsequently been frozen allegedly belong to Betsy Tang Ho, Wai Kwong Ho, Corrina Gutierrez Ludwig and Jimmy Hsieh, all of whom are connected to the charity.
According to an article in Kuam News, Hsieh and Wai Kam readily admitted to running an illegal poker business, while Betsy Ho did not deny she received substantial sums of money from the ‘Overseas Chinese Association Center.’
At present, no criminal charges have been made against the individuals but a hearing is scheduled at the District Court on Thursday, when the feds will seek an additional 90 day freeze on the accounts as they further examine the 20 boxes of documents and 22 computers seized during their warrant.