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Dynamic Chiropractic – May 20, 2011, Vol. 29, Issue 11

Secret Service Investigating Mo Pisciottano

By Editorial Staff

During the month of March, a number of doctors received letters from the United States Secret Service stating that "the U.S. Secret Service is conducting a Federal Investigation into Maurice 'Mo' Pisciottano and all related businesses."1 The letters follow on the heels of Dr. Pisciottano's bankruptcy filings in November 2010 and recent bankruptcy hearings.

The first two hearings have given vendors' representatives, bank officers and lawyers representing doctors of chiropractic a chance to pose questions to Dr. Pisciottano in an effort to keep his financial obligations from being discharged in bankruptcy. Based upon the questions being asked, it is clear that the parties believe there are additional assets that were not declared in the November bankruptcy filing.

The bankruptcy hearings took place in Washington, Pa., a town about 15 miles from the multimillion-dollar Pisciottano mansion. While only a brief opportunity for questions was allowed, vendors and attorneys began making inquiries into Pisciottano's current assets and where additional assets might be found.

At the second bankruptcy hearing, held on March 28 with only a few lawyers, some major vendors and some bank representatives in attendance, two federal investigators were present. The next hearing is being held on April 18. Still more questions will likely be asked as the parties continue to determine if there are additional assets other than the "$50,000 or less in assets" claimed by the Pisciottanos.

One of the attorneys, Mr. Lampl (who has been asked to act as special council by the bankruptcy court), represents approximately 50 DCs.2 These doctors either paid for ProAdjuster units they never received or received their units, but not the additional services included in their lease. According to bankruptcy documents filed on Dec. 10, 2010, a total of 179 doctors bought units they never received in the months before the bankruptcy filings. According to the detailed December filing, these doctors are owed a total of $2,141,217.30.3-5

Special agents from the Secret Service have been holding meetings with a number of vendors and are currently seeking information from individual doctors who were involved in purchases from Pro-Solutions. Many of those involved believe that their presence is confirmation of potential fraud. Some sources have even suggested that the Secret Service may "request the empanelling of a grand jury in the very near future."

A call to the Secret Service's Pittsburgh field office resulted in a decline to comment. Look for further updates online and in print as they become available.

References

  1. Letter from Eric Zahren, Special Agent in Charge, U.S. Secret Service. www.dynamicchiropractic.com/proadjusterlawsuits/secret_service.pdf
  2. Robert O. Lampl, 960 Penn Avenue, Suite 1200, Pittsburgh, PA 15222; 412-392-0330.
  3. Pro-Solutions for Chiropractic, Inc. Summary of Schedules. United States Bankruptcy Court, Western District of Pennsylvania.
  4. www.dynamicchiropractic.com/proadjusterlawsuits/prosolutions_bankruptcy.pdf
  5. Pisciottano Bankruptcy Petition: www.dynamicchiropractic.com/proadjusterlawsuits/pisciottano_bankruptcy.pdf

Review complete documentation and background information regarding these lawsuits at www.dynamicchiropractic.com/proadjusterlawsuits.

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