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Bankruptcy Court Clerk Convicted of Bribery
Wells of Justice comment: Please note that the perpetrator was promoted to a supervisory position before another employee spilled the beans to another clerk, who then contacted the FBI. It has been the experience of staff members with Wells of Justice and others that average people contacting the FBI concerning bankruptcy court corruption get no where.
Miami-Dade
May 6, 2004
Court clerk convicted of bribery
A veteran federal Bankruptcy Court clerk who took bribes in return for inside information will spend time behind bars.
BY LARRY LEBOWITZ
A U.S. Bankruptcy Court clerk is facing 12 to 18 months in prison after FBI agents nabbed him pocketing bribes from two local men looking for a corrupt, competitive edge in their niche business.
Dick Rodriguez, a 12-year veteran of the bankruptcy clerk's staff in Miami, pleaded guilty Wednesday to one count of bribery. Sentencing is set for July 29 in front of U.S. District Judge Adalberto Jordan.
FBI public corruption agents say Rodriguez gave ''financial locators'' Luis Garcia and William David Lynn an inside track on creditors who never picked up their funds at the close of Bankruptcy Court cases.
In one lucrative example, Rodriguez gave Garcia and Lynn's firm an early lead that led to a $13,000 commission from a bus-leasing company that was unaware of a $277,000 windfall from a 1993 bankruptcy of a rental-car firm.
Garcia and Lynn kicked back 10 percent, or $1,300, to the clerk, said federal prosecutor Karen Rochlin.
Rodriguez maintained the clerk's office's unpaid creditor ledgers.
The office normally permits financial locators such as Garcia and Lynn to view the list, by appointment, during the third week of every month. About 10 firms -- half of them local -- check the lists on a regular basis, court officials say.
Many of the unpaid creditors are individuals owed comparatively small amounts -- a couple of hundred dollars here, $1,000 there -- who cannot be located because they have moved out of the area or their own firms have folded during the pending bankruptcy.
Large-scale creditors, such as the bus-firm example at the heart of the bribery case, are comparatively rare, said Karen Eddy, the Bankruptcy Court clerk for South Florida.
The scheme was discovered in March 2003, shortly after Rodriguez was promoted to a supervisor position with the bankruptcy clerk in New York City.
A Miami employee reported the scheme to Eddy, who immediately notified the FBI. Rodriguez was fired within weeks.
''Obviously, we feel badly about what happened and any taint that it may have on court operations,'' said chief Bankruptcy Court Judge Robert A. Mark. ``It was an isolated incident by a single employee.''
Lynn, 35, of Miami Beach, pleaded guilty in February and cooperated with FBI special agents Robert Cymbaluk and Donald Morin.
He might qualify for probation when he is sentenced later this month, even though he appears to have masterminded the scheme and delivered the kickback to Rodriguez.
Garcia, 41, of West Kendall, pleaded guilty last month. He will also receive credit for cooperating, but will likely face some prison time when he is sentenced July 16.
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