1981 Fraud Case Results in Plea

NEW ORLEANS, LA—ALEXANDER HENRI LEGAULT, age 59, pled guilty in federal court today before United States District Judge Kurt D. Engelhardt to conspiracy to commit fraud and submitting a fraudulent bill of lading in connection with an international contract to ship frozen chickens to the Egyptian Government, announced U.S. Attorney Jim Letten today.

According to court documents, ALEXANDER HENRI LEGAULT (LEGAULT) along with a co-conspirator defrauded the Egyptian Government, Chemical Bank of London, and a broker, Altoun Middle Eastern Ventures, Inc. of $7,046,943.70 when LEGAULT submitted fraudulent documents to the Chemical Bank of London claiming that 5,000 metric tons of frozen chickens that met the bill of lading specifications were inspected by the U.S. Department of Agriculture and were onboard a vessel that was sailing to its destination in Egypt. Part of the proceeds were wire transferred to a bank account in the Grand Cayman Islands.

After the fraud which occurred April-June 1981 in New Orleans, Louisiana, LEGAULT fled the United States, married a Canadian citizen, and established residence in Canada. Over the past 27 years, the Canadian government has sought to deport LEGAULT from Canada because of the pending indictment in New Orleans, Louisiana.

In 2003, after a Canadian court ordered LEGAULT to leave the country, he went into hiding, but was captured by Canadian immigration officials in late 2008. Ultimately, he was returned to New Orleans to face charges.

LEGAULT faces a maximum sentence of seven (7) years imprisonment and a fine of $15,000.00. Sentencing has been scheduled for October 7, 2009, at 9:00 a.m. The State of Florida also has pending security fraud charges against LEGAULT.

The case was investigated by the Federal Bureau of Investigation. The prosecution is being handled by Senior Litigation Counsel Harry W. McSherry.