2003-04-30 -- Andujar, Edward Dr. -- Indictment -- News Release

Doctor Indicted in Connection With the Filing of False Bankruptcy Documents

CAMDEN - A federal grand jury today returned an Indictment against an Egg Harbor Township doctor in connection with his filing of false bankruptcy documents on behalf of his medical practice, U.S. Attorney Christopher J. Christie announced.

The three-count Indictment accuses Dr. Edward Andujar, 47, of signing and filing with the U.S. Bankruptcy Court in Camden a fraudulent petition on behalf of his medical practice, making fraudulent statements while under oath, and failing to file an individual income tax return for the 1997 tax year.

The bankruptcy fraud Indictment states that Andujar was the president and operator of a medical practice called Medi-One-Stop, Inc., a/k/a Medi-1-Stop, Inc., at English Creek Road & Blackhorse Pike in Egg Harbor Twp. The Indictment alleges that on Feb. 10, 1998, on behalf of Medi-One-Stop, Inc. (Medi-One), Andujar signed and filed a petition with the Bankruptcy Court, under Chapter 7 of the U.S. Bankruptcy Code.

The Indictment states that the petition was assigned to the U.S. Bankruptcy Judge Judith H. Wizmur in Camden.

According to the Indictment, the bankruptcy petition the defendant had signed and filed on behalf of Medi-One contained a written declaration that the information contained in it was true and correct and all statements were made under penalty of perjury. The Indictment states that the bankruptcy petition and schedules required Andujar to list "other property" transferred within the one-year period immediately preceding the commencement Feb. 10, 1998 Medi-One bankruptcy case.

The Indictment alleges that the bankruptcy petition was not true and complete because Andujar failed to disclose transfers, disbursements and other transactions totaling approximately $106,000 that took place during the one-year period immediately preceding Medi-One's bankruptcy commencement date. Between Aug. 27, 1997 and Feb. 2, 1998, for example, the defendant allegedly wrote checks on Medi-One's operating account and payroll account made payable to the defendant's father totaling $41,500. The Indictment states that these checks were cashed and the proceeds were provided to the defendant. Furthermore, the indictment states that between March 4, 1997 and Dec. 22, 1997, Andujar deposited $64,975 of Medi-One's medical practice receipts into his personal bank account.

According to the Indictment, on March 19, 1998, the defendant, under oath, provided testimony before the Bankruptcy Court regarding the Medi-One bankruptcy case and was asked if he received "any funds in any shape, way or form in the last three years" from Medi-One. The Indictment states that under oath Andujar responded that during the last three years he received a salary of approximately $150,000 per year, but he had not drawn any money from Medi-One since September 1997. The Indictment alleges that Andujar's response was not true because, in addition to his salary, Andujar failed to disclose his receipt of approximately $89,000 in salary and medical practice receipts.

An arraignment on the Indictment will be scheduled at a later date.

The Indictment is available by contacting the U.S. Attorney's Office Public Affairs Office at either 856-757-5233 or 973-645-2888.

On Counts One and Two of the Indictment, charging bankruptcy fraud, Andujar faces a maximum penalty on each count of five years in prison and a $250,000 fine. Count Three, failure to file a tax return, carries a maximum penalty of one year in prison and a $100,000 fine.

Parole has been abolished in the federal sentencing system. Defendants who are sentenced to custodial terms must complete nearly all of the sentence before being released, according to Assistant U.S. Attorney Thomas DiLeonardo.

Despite Indictment, every defendant is presumed innocent, unless and until found guilty beyond a reasonable doubt, following a trial at which the defendant has all of the trial rights guaranteed by the U.S. Constitution and federal law.

Christie credited Special Agents of the FBI Atlantic City Resident Agency, under the direction of Special Agent in Charge Louie F. Allen, and the IRS Criminal Investigation section, Mays Landing Field Office, under the direction of Special Agent in Charge Anne D. Fahy, with developing the case against the defendant.

The Government is represented by Assistant U.S. Attorney Thomas DiLeonardo of the Criminal Division in Camden.

- end -

Defense Attorney: William DeStefano, Esq. Philadelphia, Pa