Richard Martino
Encyclopedia
Richard Martino is a member of the New York Gambino crime family
who was involved in an Internet
scam that cost consumers $750 million. It was the largest consumer fraud case in American history.
Martino and Gambino capo Salvatore LoCascio
created what appeared to be just a pornography
website
. Like many such sites, visitors could tour it for free by providing credit card
numbers to confirm they were adults. However, Martino and LoCascio then charged the visitors an unauthorized monthly website subscription. In a different scam, Martino and Locascio created a "cramming
" scheme that sent bills to customer phone companies for unwanted services.
After many consumer complaints, the Federal Bureau of Investigation
(FBI) began to investigate both scams. Martino and LoCascio were eventually charged with conspiracy to commit mail fraud, wire fraud
, and money laundering
. Martino plead guilty to the charges.
On January 6, 2006, Martino was sentenced to five years in prison and a $4.6 million fine. As of July 2011, Martino is incarcerated at the Metropolitan Detention Center
in Brooklyn, New York. His projected release date is August 2, 2014.
Gambino crime family
The Gambino crime family is one of the "Five Families" that dominates organized crime activities in New York City, United States, within the nationwide criminal phenomenon known as the Mafia . The group is named after Carlo Gambino, boss of the family at the time of the McClellan hearings in 1963...
who was involved in an Internet
Internet
The Internet is a global system of interconnected computer networks that use the standard Internet protocol suite to serve billions of users worldwide...
scam that cost consumers $750 million. It was the largest consumer fraud case in American history.
Martino and Gambino capo Salvatore LoCascio
Salvatore LoCascio
Salvatore LoCascio is a reputed caporegime in the New York Gambino crime family.-Early life:LoCascio grew up in Eastchester, New York when his father, Frank LoCascio, Consigliere to John Gotti, was sentenced to life imprisonment for mafia crimes...
created what appeared to be just a pornography
Pornography
Pornography or porn is the explicit portrayal of sexual subject matter for the purposes of sexual arousal and erotic satisfaction.Pornography may use any of a variety of media, ranging from books, magazines, postcards, photos, sculpture, drawing, painting, animation, sound recording, film, video,...
website
Website
A website, also written as Web site, web site, or simply site, is a collection of related web pages containing images, videos or other digital assets. A website is hosted on at least one web server, accessible via a network such as the Internet or a private local area network through an Internet...
. Like many such sites, visitors could tour it for free by providing credit card
Credit card
A credit card is a small plastic card issued to users as a system of payment. It allows its holder to buy goods and services based on the holder's promise to pay for these goods and services...
numbers to confirm they were adults. However, Martino and LoCascio then charged the visitors an unauthorized monthly website subscription. In a different scam, Martino and Locascio created a "cramming
Cramming (fraud)
Cramming is a form of fraud in which small charges are added to a bill by a third party without the subscriber's consent or disclosure. These may be disguised as a tax or some other common fee, and may be several dollars or even just a few cents. The crammer's intent is that the subscriber will...
" scheme that sent bills to customer phone companies for unwanted services.
After many consumer complaints, the Federal Bureau of Investigation
Federal Bureau of Investigation
The Federal Bureau of Investigation is an agency of the United States Department of Justice that serves as both a federal criminal investigative body and an internal intelligence agency . The FBI has investigative jurisdiction over violations of more than 200 categories of federal crime...
(FBI) began to investigate both scams. Martino and LoCascio were eventually charged with conspiracy to commit mail fraud, wire fraud
Wire fraud
Mail and wire fraud is a federal crime in the United States. Together, 18 U.S.C. §§ 1341, 1343, and 1346 reach any fraudulent scheme or artifice to intentionally deprive another of property or honest services with a nexus to mail or wire communication....
, and money laundering
Money laundering
Money laundering is the process of disguising illegal sources of money so that it looks like it came from legal sources. The methods by which money may be laundered are varied and can range in sophistication. Many regulatory and governmental authorities quote estimates each year for the amount...
. Martino plead guilty to the charges.
On January 6, 2006, Martino was sentenced to five years in prison and a $4.6 million fine. As of July 2011, Martino is incarcerated at the Metropolitan Detention Center
Metropolitan Detention Center
"Metropolitan Detention Centers" are federal detention facilities operated by the Federal Bureau of Prisons and located throughout the United States...
in Brooklyn, New York. His projected release date is August 2, 2014.