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  Cleveland Diocesan Official Convicted in Fraud Case

Catholic World News
October 3, 2007

http://www.cwnews.com/news/viewstory.cfm?recnum=53913

Cleveland — A former financial officer for the Cleveland, Ohio diocese has been convicted of fraud in a scheme involving nearly $800,000 in kickbacks to another former diocesan employee.

An Ohio jury declared Anton Zgoznik guilty on 14 counts of financial misconduct. The October 2 verdict confirmed prosecutors' charges that Zgoznik had conspired with Joseph Smith, once the chief financial officer of the diocese, in a scheme involving secret payments from diocesan accounts.

Zgoznik and Smith had argued that diocesan officials were aware of their transactions, and that other officials, including Bishop Anthony Pilla, had also engaged in irregular financial practices. But prosecutor John Siegel said that investigators found no evidence that individuals other than Zgoznik and Smith were involved in the fraudulent practices.

An attorney for Zgoznik said that his client would appeal the jury's guilty verdict. "The diocese fought us tooth and nail on every request for evidence," attorney Robert Rotatori told the Cleveland Plain Dealer. He said that evidence would have demonstrated his client's claim to have had the approval of diocesan officials.

Bishop Anthony Pilla retired from his duties as head of the Cleveland diocese after the financial conspiracy was exposed.

 
 

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