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Man Accused in Catholic Diocese Kickback Scheme Set for Trial WTTE May 11, 2008 http://www.wtte28.com/template/inews_wire/wires.regional.oh/37d7f001-www.wtte28.com.shtml CLEVELAND — A federal trial is scheduled to begin tomorrow for a man who was once the top financial officer at the Cleveland Catholic Diocese. Joseph Smith is accused of orchestrating a kickback scheme that lined his pockets with at least $784,000. He's pleaded not guilty to charges that include making false personal income tax returns, money laundering, mail fraud and conspiracy. A co-defendant, Anton Zgoznik, was convicted in October and is scheduled to be sentenced June 18. Zgoznik was an accountant for the diocese. Prosecutors say Zgoznik funneled in kickbacks to Smith through $17 million in outside auditing and consulting contracts with the church. Church officials have denied any knowledge of illegal payments. |
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