Berwyn Businessman Casey Szaflarski Arrested on Federal Illegal Gambling and Tax Fraud Charges; Added as Eighth Defendant in New Indictment

A Chicago man who allegedly helped a criminal organization run its illegal gambling activities was arrested today on federal gambling and tax fraud charges, federal law enforcement officials announced. The defendant, Casey Szaflarski, acting through his Berwyn business, Amusements, Inc., was charged with conducting an illegal gambling business since 2002, along with two other men—among seven total—who were charged previously. The gambling and tax charges against Szaflarski were brought in a superseding indictment that was returned by a federal grand jury last week and unsealed today following his arrest. The charges allege that Szaflarski failed to report more than $255,000 of business income between 2004 and 2006, and that he failed to file a federal income tax return for 2007.

Szaflarski, 52, was scheduled to be arraigned at 2:30 p.m. today before U.S. Magistrate Judge Nan Nolan in Federal Court in Chicago. He was charged with one count of conducting an illegal gambling business, three counts of filing a false federal income tax return, and one count of failing to file a federal income tax return, for a total of five counts in the 16-count superseding indictment.

The new indictment was announced by Patrick J. Fitzgerald, United States Attorney for the Northern District of Illinois; Alvin Patton, Special Agent-in-Charge of the Internal Revenue Service Criminal Investigation Division in Chicago; Robert D. Grant, Special Agent-in-Charge of the Chicago Office of the Federal Bureau of Investigation; and Andrew L. Traver, Special Agent-in-Charge of the Chicago Office of the Bureau of Alcohol, Tobacco, Firearms and Explosives. Federal officials commended the assistance of the Berwyn Police Department and the Cook County Sheriff’s Department.

The charges against Szaflarski were brought in a superseding indictment in United States v. Polchan, et al., 08 CR 115, in which seven other defendants were indicted in May 2009 on racketeering conspiracy charges alleging eight years of criminal activity, including armed robberies and thefts, illegal gambling, obstruction of justice, and arson, including the pipe-bombing of a competing Berwyn video and vending machine business in 2003. Szaflasrki was not charged in the racketeering conspiracy or arson counts. He was charged with conducting an illegal gambling business, ongoing since at least 2002, with co-defendants Michael Sarno and Mark Polchan.

Today’s indictment adds a new forfeiture allegation seeking at least $3,607,201 from Szaflarski, Sarno, and Polchan as proceeds of the alleged illegal gambling activity. The indictment results, in part, from federal search warrants that were executed at more than two dozen suburban locations, including bars and restaurants, on May 27, 2009.

The three counts of filing false federal income tax returns allege that Szaflarski failed to report the following income from his closely-held business, Amusements, Inc.:

* at least $78,417 for 2004 when he reported total income of $373,736;
* at least $82,355 for 2005 when he reported total income of $262,842;
* at least $94,593 for 2006 when he reported total income of $286,071.

The indictment further alleges that Szaflarski failed to file a federal income tax return for 2007 when he received gross income of at least $95,911.

The government is being represented by Assistant U.S. Attorneys T. Markus Funk and Amarjeet S. Bhachu.

The counts against Szaflarski alone carry the following maximum terms of incarceration: operating an illegal gambling business—five years; filing false federal income tax returns—three years; and failing to file a federal income tax return—one year. In addition, each count carries a maximum fine of $250,000, except the failing to file count, which is a misdemeanor and carries a maximum fine of $100,000. Defendants convicted of tax offenses must be assessed mandatory costs of prosecution and remain liable for any back taxes, interest, and penalties owed. If convicted, the Court must determine a reasonable sentence under the advisory United States Sentencing Guidelines.

The public is reminded that an indictment contains only charges and is not evidence of guilt. Szaflarski and the defendants charged previously are presumed innocent and are entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt.

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Casey Szaflarski, Suspected Mob Video Poker King, Arrested on Gambling and Tax Fraud Charges

A Chicago man suspected of running a video poker business linked to the Chicago Outfit was arrested today on federal gambling and tax fraud charges, authorities said.

Casey Szaflarski, 52, was added to an indictment brought last year against Michael "the Large Guy" Sarno, a reputed mob figure accused of running a ring that pulled jewelry heists and bombed a competitor's video poker business.

Court records show authorities suspect that Szaflarski, who owned Amusements Inc. of Berwyn, entered the video poker business with the help of Mickey Marcello, a member of the mob's Melrose Park street crew who pleaded guilty in the landmark Family Secrets case.

Federal authorities carried out searches last year at businesses suspected of keeping machines run by Szaflarski's business, court records show. Agents also searched a 2007 black Hummer allegedly used by Szaflarski while making visits to businesses that used his machines. Authorities believe the machines could bring in more than $2,000 a day.

The charges against Szaflarski alleged he failed to report more than $255,000 of business income to the Internal Revenue Service between 2004 and 2006 and also failed to file a federal income tax return for 2007.

He was charged with one count of conducting an illegal gambling business, three counts of filing a false federal income tax return and one count of failing to file a federal income tax return.

Thanks to Jeff Coen

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Top 10 Courtroom Movies of All Time

Courtroom movies hold a special ability to provide mystery, suspense, and a good story that almost always reaches a neatly packaged conclusion, making this genre of movies appealing to a wide variety of audiences. Check out these movie recaps (including plot spoilers!) that span the entire 20th century, with black and white dramas, more modern dramas, and even a comedy and a documentary in the list. While it might not substitute for your training to become a court reporter, it certainly can’t hurt to spend some time watching these courtroom movies to understand the history and popular culture surrounding your chosen field of study.

1. The Paradine Case (1947). Alfred Hitchcock directed this film that stars Gregory Peck as a barrister hired to defend Mrs. Paradine when she is accused of killing her wealthy, older husband. The barrister, happily married, begins to fall for the alluring Mrs. Paradine as he gets deeper into the case. The trial focuses on whether Mrs. Paradine or Mr. Paradine’s valet killed the man. During a particularly rough line of questioning by the barrister, the valet confesses to an affair with Mrs. Paradine. He leaves the courtroom and later kills himself. Upon learning of the death, Mrs. Paradine confesses to killing her husband, her love for the valet, and her hatred for the barrister, who she feels killed her lover. The barrister must then come to terms with how he handled the case and himself.
2. 12 Angry Men (1957). A teenage boy is put on trial for killing his father. When the twelve men on the jury begin deliberation, what initially seemed an easy guilty verdict suddenly becomes much more complex when one juror (played by Henry Fonda) asks the other jurors to look closely at the facts of the trial. What results is a study in humanity as each of the jurors faces his own prejudices, emotions, and histories in a search for the truth.
3. Witness for the Prosecution (1958). This stunning movie was adapted from a play written by the master mystery writer, Agatha Christie. Tyrone Power and Marlene Dietrich play Leonard and Christine Vole. Leonard is accused of killing a rich woman who left him a substantial amount of money. Leonard’s trial is full of twists and turns as his attorney fights to clear his name. When it appears that Christine has set Leonard up for murder and Leonard is cleared, the plot twists again.
4. Judgment at Nuremberg (1961). Based on a real trial that took place in 1947, this powerful movie stars Spencer Tracy as an American judge determined to understand the truth at the heart of the case that has four German judges accused of human atrocities under the Nazi regime. Tracy’s search for the truth reveals heartache and emotional blindness. Eventually the truth is revealed when one of the judges on trial describes the reasons he and so many others followed along with such horrific acts. When this movie was released in 1961, all four judges on whom the movie was based were already released from prison.
5. To Kill a Mockingbird (1962). Based on the novel by Harper Lee, Gregory Peck stars as an attorney in a small southern town who is selected to defend a black man accused of raping a white woman. The story is told through the attorney’s young daughter, Scout. The trial and the events leading up to the trial depict both the rampant racism in the town as well as the beauty of humanity glimpsed between the other. While the trial does not end with justice being served, the movie ends with hope for the future as seen through Scout.
6. The Verdict (1982). Paul Newman plays a lawyer who has turned to alcohol and shunned his career after his attempt to uphold justice was turned against him and he lost his partnership in a successful firm. A friend throws an easy medical malpractice case to him that is sure to settle out of court. When Newman’s character looks over the case, however, he feels it should go to trial. What follows is a study of the lawyer’s rebuilding his life and career in the face of both obstacles and infidelity as he wins the case for the family of a young mother left in a vegetative state.
7. A Few Good Men (1992). Tom Cruise, Jack Nicholson, and Demi Moore star in this movie directed by Rob Reiner. Cruise plays an inexperienced lawyer for the Marines who defends two Marines accused of murdering a fellow Marine. The court case uncovers intense hazing that occurred under orders of the commanding officer and pits the green lawyer against a seasoned Colonel who verbally spar over what it means to have honor and to be a Marine. The lawyer wins the case, but the two he was defending are dishonorably discharged.
8. My Cousin Vinny (1992). In a genre heavy with drama, this movie stands out as being both an excellent courtroom movie that is also a comedy. When two young men are accused of a murder they did not commit as they were passing through a small southern town, they hire the only lawyer they know and can afford–a cousin from Brooklyn who has only been a lawyer for a few weeks. The neophyte lawyer with his Brooklyn ways learns important lessons in courtroom etiquette as he bumbles his way through in a veteran judge’s well-oiled courtroom, culminating in the acquittal of the two young men.
9. Philadelphia (1993). Based on a true story of the first AIDS discrimination case taken to court, Tom Hanks and Denzel Washington star in this movie that tells the story of an important lawyer at the largest law firm in Philadelphia who is fired from his position when it is discovered that he has AIDS. When the lawyer can find no one to represent him against the firm, he begins preparation to defend himself. A homophobic lawyer steps up to take the case and the two men take on and win the discrimination suit.
10. Paradise Lost: The Child Murders at Robin Hood Hills (1996). The only documentary in this list, this movie details the trial of three teenage boys in Arkansas who are accused of killing three 8 year-olds. With real courtroom footage and interviews with suspects and others involved in the case, this movie documents a trial that even after its conclusion left many wondering about the effectiveness of the judicial system.

Thanks to Court Reporter Schools

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Joseph "The Shark" Lopez Responds to Media Reports on 15th Ave Adult Books in Melrose Park

Our most recent "Shark Tale" addresses the allegations brought against an adult bookstore in Melrose Park that has been accused of running a sex party room. Their attorney, Joseph "The Shark" Lopez, picks it up from here.

The press never seems to go away for some of my clients. Recently, FOX Chicago claimed to have went undercover in Robert Urbinati's wife's bookstore. Bobby was a codefendant of Tony Centracchio an alleged outfit boss who died before the feds could send him away for a few decades.

Bobby did his time like a man unlike Frank Calabrese Jr."the balless wonder" and his chicken man Uncle, Nick "The Slayer" Calabrese.

The bookstore is located in an industrial area of Melrose Park. There is a party room in the back which hosts can rent out for parties. Like any other party the guests can enjoy themselves and in this case they were swingers and freaks of all types. The Bookstore does not sell liquor, drugs or provide sex partners. These parties are be invitation only and not open the general public. The patrons pay an admission fee and receive a red band to enter. Once inside they do what people have been doing since "Adam and Eve" or "Eve and Eve" or "Adam and Adam". The party room remains under the control of the host and the owner does not provide anything other than the space to play. There is nothing illegal about this type of party.

The media hit on it because its in Melrose Park and there is an Italian name. Otherwise, its not a story if some other guy, like a Sam Tong, a Herb Gold, a Bob Perez, or a Mike Anderson, were the owners. Its news because of a few vowels. The media could not link it to "The Outfit" because there is not a link. This is America and its citizens have a constitutional right to assemble and party. They are exhibitionists who are protected by the constitution.

The feed back on the story has been positive. Its yesterday's news. The media reported a non-story because the bottom line was that nothing was illegal. I hope the free advertising helps the store in this troubled economy.

Thanks to Joseph "The Shark" Lopez

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Is The Wife of a Former Police Officer with Mob Ties Running a Sex Club Out of a Bookstore?

From the outside, you'd think it was just another adult bookstore on a dead-end street. But a Melrose Park business is hiding a dirty little secret.

Our undercover camera revealed people showing up here -- for something other than books.

"It's shady,” a neighbor said. “Yeah, totally shady… Outrageous! Disgusting!”

The video, er, what we can show you of it makes it clear this place is operating more like a sex club than a book club. And charging admission.

An employee told our producer that multiple rooms are devoted to group sex acts.

Our producer said he observed one woman with a line of men in front of her.

Outraged neighbors are wondering why the place isn't shut down. "What are they thinking? It should be shut down, it's sick," one neighbor said. “I don't like the idea of having it around."

We wanted to ask Mayor Ronald Sirpico how it's able to stay open and show him our video.

We went to the village hall for our interview, and a staff member told us he wouldn't be able to make it. Instead they handed us a one-page statement.

The statement reads, in part, "Our police have followed up on numerous complaints and even used undercover tactics ... In an attempt to close the 15th Avenue bookstore. … Those efforts have proved fruitless thus far."

The mayor did tell FOX Chicago News on the phone that officers have gone in a dozen times to investigate and didn't find anything unusual.

FOX Chicago News went in one time and you can know what we found.

Attorney Joe Lopez represents Jeanette Urbinati, the owner of the bookstore.

“It is legal,” Lopez told FOX Chicago News.

Jeanette Urbinati is the wife of Robert "Bobby" Urbinati, a former Franklin Park police officer who did federal time for the operation of an illegal gambling business tied to the mob.

The feds said he was operating as the “cash man" between mob bosses Anthony Centracchio and James Marcello.

Lopez claimed the bookstore is doing nothing wrong. He also said there are signs posted all over warning customers not to have sex. "I think it's standard for you to remind people of that in adult entertainment places, " he said.

When was the last time you heard of an adult entertainment place with a shower for the customers?

Online chat rooms describe the activity from people who've been there: men looking for women or other men to go to the 15th Avenue bookstore to have sex.

On Craig’s List, you can find personals from people arranging to meet for all kinds of scenarios with random partners at the bookstore.

FOX Chicago News consulted with attorney Steven Greenberg.

"If Melrose Park is not taking any action, they obviously want it there," he said.

Greenberg said he was surprised when FOX revealed to him that inside the bookstore our producer was asked if he wanted to buy any alcohol.

“A business that doesn't have a liquor license shouldn't be serving liquor. That's the easiest way to shut it down,” Greenberg said. “Basically you padlock the door, pending a further hearing."

FOX Chicago News has learned the sheriff's department went inside and handed over possible violations for Melrose Park police to investigate. But the business hasn't been slapped with any violations.

FOX Chicago News called Melrose Park police but they wouldn't return our calls.

Whatever's going on inside, you can see how it looks to families from the outside, across the street from a go-kart center.

“Based on the sheriff’s investigation and your investigation, I think they need to look into it further,” Greenberg said.

He added: “It's been done in New York; they did it in Times Square. Chicago’s done it. Mayor Daley’s been known to fight these businesses. Any mayor can control it. It's like a fiefdom. Mayors are kings of their community; they can do what they want in their community."

Thanks to Anna Davlantes

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