Warm Southern Breeze

"… there is no such thing as nothing."

Posts Tagged ‘Lake Martin’

Former Alabama business owner convicted of defraduing employees & federal government

Posted by Warm Southern Breeze on Tuesday, January 29, 2013

Greed, avarice, theft… they’re all related to each other.

It begs the question, however, and that question is:

“How much is enough?”

Former CEO of bankrupt Adams Produce Co. enters plea agreement to fraud and other charges

By Kent Faulk | kfaulk@al.com
on January 29, 2013 at 4:43 PM, updated January 29, 2013 at 5:19 PM

BIRMINGHAM, Alabama – Scott David Grinstead, former chief executive officer of Adams Produce Company, today was charged with fraud against the now bankrupt company, failure to report a felony against the government, and failure to file federal income tax returns, federal authorities announced.

Grinstead, 45, who also today entered a plea agreement with federal prosecutors, is the second Adams Produce employee to be charged in a criminal probe of the long-time Birmingham-based company, which shut down after declaring bankruptcy last year.

Adams Produce was founded in 1903 by Edwin Calvin Adams. The Adams family sold the company to executives and a private equity firm in 2010.

Grinstead, under the terms of his plea agreement, is to pay $450,000 in restitution to the bankruptcy estate of Adams Produce for the benefit of the company’s employees who were not fully paid because of Adams’ abrupt closing and its filing for bankruptcy last year, according to a statement from U.S. Attorney Joyce White Vance, FBI Special Agent in Charge Richard D. Schwein Jr. and IRS Criminal Investigation Division Acting Special Agent in Charge Veronica Hyman-Pillot.

“This case involves the chief executive officer of a company who Read the rest of this entry »

Posted in - Business... None of yours, - My Hometown is the sweetest place I know | Tagged: , , , , , , , | Leave a Comment »

 
%d bloggers like this: