Thank you for sharing!

Your article was successfully shared with the contacts you provided.
The former general counsel of now-defunct U.S. Wireless Corporation, David Klarman, has pleaded guilty to mail fraud and money laundering for his role in a scheme that was blamed for the company’s demise, according to the U.S. attorney’s office. Klarman entered his plea December 2 as part of a deal with federal prosecutors, but the agreement was sealed for more than a month. His attorney, Edward Swanson of San Francisco’s Swanson & McNamara, did not comment on the plea agreement. Klarman’s alleged partner in the massive embezzlement scheme, former U.S. Wireless chief executive officer Oliver Hilsenrath, is also under indictment. San Francisco prosecutors are trying to have him extradited from Israel. U.S. Wireless was based in San Ramon, California. Klarman was arrested at his East Hampton, New York, home in July ["Another GC, Another Charge," September 2003]. He pleaded guilty to one count each of money laundering and mail fraud, and admitted to embezzling more than 500,000 shares of U.S. Wireless stock and laundering more than $9 million. In 2003 Klarman and Hilsenrath were accused of hiding the stolen money and stock in offshore shell corporations. Hilsenrath was also accused of making false statements in annual financial reports. U.S. Wireless went bankrupt after the fraud was revealed. Klarman faces 20 years in jail plus a $500,000 fine just for the money laundering. He agreed to place $5 million in an escrow account while he awaits sentencing.

This content has been archived. It is available exclusively through our partner LexisNexis®.

To view this content, please continue to Lexis Advance®.

Not a Lexis Advance® Subscriber? Subscribe Now

Why am I seeing this?

LexisNexis® is now the exclusive third party online distributor of the broad collection of current and archived versions of ALM's legal news publications. LexisNexis® customers will be able to access and use ALM's content by subscribing to the LexisNexis® services via Lexis Advance®. This includes content from the National Law Journal®, The American Lawyer®, Law Technology News®, The New York Law Journal® and Corporate Counsel®, as well as ALM's other newspapers, directories, legal treatises, published and unpublished court opinions, and other sources of legal information.

ALM's content plays a significant role in your work and research, and now through this alliance LexisNexis® will bring you access to an even more comprehensive collection of legal content.

For questions call 1-877-256-2472 or contact us at [email protected]


ALM Legal Publication Newsletters

Sign Up Today and Never Miss Another Story.

As part of your digital membership, you can sign up for an unlimited number of a wide range of complimentary newsletters. Visit your My Account page to make your selections. Get the timely legal news and critical analysis you cannot afford to miss. Tailored just for you. In your inbox. Every day.

Copyright © 2020 ALM Media Properties, LLC. All Rights Reserved.