Man gets prison, nearly $2-million fine for fraud
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A local man was sentenced Monday to 2 1/2 years in federal prison and ordered to pay $1.89 million in connection with an advertising fraud scheme.
Authorities said George Pilgrim admitted in a plea deal that he had defrauded 33 victims, including corporations and government agencies, for ads that never were placed, in some cases because the publications he purported to represent did not exist.
Under the deal reached with prosecutors, Pilgrim pleaded guilty last year to tax, mail and wire fraud charges.
He also has admitted failing to report nearly $2 million in income to the Internal Revenue Service and agreed to cooperate with the agency to determine how much he owes in taxes for 2000 through 2002.
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