A star of the film "Posljednja volja" (croatian for Millionaire dogs)
Posted on 02/17/2006 7:05:41 PM PST by NormsRevenge
LOS ANGELES (AP) - A Minnesota actress was arrested Friday on charges that she lied to cover up a scam to con more than 70 people into investing $5.5 million into a television series about the Department of Homeland Security, federal authorities said.
Alison Ann Heruth, 41, of Oakdale, Minn., was named in a revised indictment that in October accused Hollywood producer Joseph Medawar of falsely telling investors that President George W. Bush endorsed "DHS: The Series."
Prosecutors allege that from May 2003 through September 2005, Medawar falsely told investors that his production company, Steeple Entertainment, was about to sell stock to the public and that it was worth more than $200 million. As part of the alleged scheme, he falsely claimed 26 episodes of "DHS" were in post-production and that the company had distribution deals with 137 overseas markets, the indictment said.
He allegedly also falsely claimed that President Bush and the Department of Homeland Security endorsed the series when, in fact, DHS officials did not approve the use of the department's name or seal.
Prosecutors allege Medawar instead spent most of the money on cars, housing, child care, jewelry and expensive meals for himself and his associates.
Heruth, who used the name Alison Heruth-Waterbury when she co-starred with "ER" actor Goran Visnjic in a Croatian movie, has said in print and radio interviews that she was to co-produce and star in "DHS."
She was charged with two counts of failing to report or stop a felony, and one count of making false statements to the FBI and the IRS. She faces up to 11 years in federal prison if convicted of all counts.
Heruth appeared before a federal magistrate in Minneapolis Friday afternoon and was freed on $100,000 bond, said assistant U.S. Attorney David Willingham. She was scheduled to be arraigned in Los Angeles federal court March 6.
Meanwhile, Medawar has already pleaded not guilty to 23 counts of mail fraud, wire fraud and money laundering, and is free on a $1 million bond. The revised indictment added 11 more counts against him, but no arraignment date has been set for the new charges, Willingham said.
He faces prison terms totaling up to 449 years if convicted on all counts.
The new charges include allegations that Medawar's company laundered money he received from investors for the bogus TV show by paying $23,000 to a Southern California congressman for a movie script the lawmaker wrote.
Rep. Dana Rohrabacher, R-Huntington Beach, introduced Medawar to at least five Republican congressmen and staff members at the House Homeland Security Committee in 2004. He told The Associated Press the script deal was approved by a House of Representative's ethics committee and that he believed the proposed show "was a great idea and is still a great idea."
"He convinced myself and a lot of people that he was planning to do this series, and do one ... patriotic movie a year," Rohrabacher said. "My script was going to be the first one."
The indictment also alleged that Medawar's company paid $7,000 toward the purchase of a Mercury sport utility vehicle for Mario Rodriguez, an Orange County businessman and the former vice chair of the California Republican Party.
Willingham, the prosecutor, couldn't comment on whether authorities were investigating the transaction, saying only that the charge is an example of Medawar's "effort to promote the underlying fraud scheme by buying access to government officials."
A telephone message left at a San Clemente business where Rodriguez was said to work at wasn't immediately returned.
Rohrabacher declined to make further comments until a jury decides Medawar's fate.
"If he's found guilty, I'll certainly return the money that was raised fraudulently," he said.
Oh for Heaven sake..........
Make it a women's prison and there's your TV show, son!
How do you make a small fortune in hollywood? Start with a large one.
I wonder if all of this mess will show up on Court TV?
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.