Wilmington, DE – Today the Department of Justice announced the arrest yesterday of a Delaware building contractor on a host of criminal charges in a home construction fraud scheme that allegedly took place between 2003 and 2007. Andrew Jones, also known as “Andre Jones,” was indicted on October 27, 2008 by a New Castle County Grand Jury on 42 counts, including Racketeering, Conspiracy to Commit Racketeering, Theft of $100,000 or More, New Home Construction Fraud, Home Improvement Fraud, Issuing a Bad Check, Contractor’s Unlawful Retention of Funds, and Falsifying Business Records. The indictment follows an investigation by the Department’s Fraud and Consumer Protection Division. The criminal activity took place in all three Delaware counties, but was primarily concentrated in Sussex County.

Along with Andrew Jones, the October 27 indictment also charges Jason James with Theft and New Home Construction Fraud. James was not charged with Racketeering, though he was named as a co-conspirator with Jones. Together, Jones and James operated a company named Bavari Inc. that entered into contracts with prospective homeowners to build new homes in Sussex and Kent Counties. The indictment alleges that Bavari Inc. and Jones stole more than $470,000 from homeowners and various sub-contractors who worked for them. Jones was arrested in Sussex County by a Delaware Department of Correction Probation Officer and custody was turned over to Delaware State Police at Troop 4. His bail was set at $156,000 secured. He has recently been living and doing business in Philadelphia under a company named “Jepulte.” Jones had been sought last week in Philadelphia by a joint operation of the Delaware Department of Justice and the Philadelphia Police Department Financial Crimes Unit.

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Wilmington, DE – The Delaware Department of Justice today announced sentences in the following criminal cases:
Christie Padovani, age 34 of Newark, pled Guilty but Mentally Ill on August 19, 2008 in New Castle County Superior Court to Murder by Abuse or Neglect 2nd Degree.
On September 29, 2007, Padovani drowned her daughter in the bathtub of her home. Immediately after drowning her child, she contacted 911 and confessed to the drowning. Padovani was arrested by the New Castle County Police Department on September 29, 2007. Padovani was sentenced today in New Castle County Superior Court by Judge M. Jane Brady to 15 years in prison, followed by 6 months Home Confinement or Work Release, and then 30 months of intensive Probation. During her prison term, Padovani will have to complete mental health treatment and take all prescribed medications. Once released, Padovani must continue her mental health treatment and comply with random drug testing.
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Kareem Woodson, age 31 of Philadelphia, pled guilty on September 30, 2008 in New Castle County Superior Court to Robbery 1st Degree, Possession of a Firearm During the Commission of a Felony, and Aggravated Menacing.
On June 25, 2005, Woodson robbed a jewelry store in the Christiana Mall. A Delaware State Trooper observed the robbery and attempted to apprehend Woodson, who fled. During the chase, Woodson dropped a baseball hat before getting away from the Trooper. DNA from the hat led to Woodson’s arrest in Philadelphia on February 25, 2008. He was extradited to Delaware on March 5, 2008. Woodson was sentenced today in New Castle County Superior Court by Judge William C. Carpenter, Jr. to 6 years and 90 days in prison, followed by 2 years of intensive Probation.
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Joshua Hall, age 18 of Wilmington, pled guilty on September 29, 2008 in New Castle County Superior Court to Vehicular Assault 2nd Degree and Driving Under the Influence.
On May 23, 2008, Hall struck a stopped vehicle on I-95. A Wilmington Police Officer assisting the stopped car was injured when Hall’s vehicle hit the car. Hall’s Blood Alcohol Concentration was .116. Joshua Hall was sentenced today in New Castle County Superior Court by Judge John A. Parkins, Jr. to 2 years intensive Probation and must pay $500 in restitution. In addition, Hall was ordered to undergo substance abuse treatment. # # #

Wilmington, DE – The Delaware Department of Justice announced today that it is calling on the Federal Trade Commission (FTC) to amend its Used Car Rule to require car dealers to indicate prior title status and damage history on used cars, trucks or SUVs offered for sale. Delaware joined Attorneys General from 39 other states, the District of Columbia, and the Northern Mariana Islands. Under the FTC’s Used Car Rule, car dealers are required to post “Buyer’s Guide” notices on used vehicles, indicating whether the automobile is offered with a warranty, or is being sold “as-is,” without a warranty. While this warranty information is valuable for prospective buyers, the states noted in their letter that the Rule’s value is limited because it does not require notice about a vehicle’s damage history and prior use. In addition, the states added that damaged vehicles may pose safety hazards to consumers, and that manufacturers void warranties on vehicles with damage histories.
“Amending the Buyer’s Guide to require not only warranty information but also damage, prior use, and Lemon Law History, will help prevent fraud and help buyers make more informed purchasing decisions,” stated Timothy Mullaney, Director of the Delaware Department of Justice Fraud and Consumer Protection Division.

The states’ letter also indicates that Wisconsin already requires prior-damage information to be disclosed on Buyer’s Guides posted on used vehicles in that state, and that the FTC approved the Wisconsin regulation. Moreover, this information is readily available to dealers through private data sources and title records that accompany vehicles they purchase at auction or take in trade.
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Wilmington, DE – As state securities regulators continue their efforts to provide relief to investors whose funds have been frozen in the auction rate securities market, the Delaware Department of Justice reminds investors of repurchase opportunities that have been arranged between securities regulators and several Wall Street investment firms.
In settlements reached with state and federal securities regulators, eleven investment firms have agreed in principle to repurchase more than $50 billion of auction rate securities (ARS) from investors. Eligible investors may have already received written notices about these limited time repurchase opportunities. Investors are encouraged to contact the Delaware Department of Justice at (302) 577- 8424 and the investment firm from which they originally purchased their ARS if they have questions about the repurchase offers.
“Investors should be aware that if the notice they receive from the selling firm is not followed, the current repurchase opportunity will expire and future repurchase offers are unlikely,” stated James Ropp, Delaware Securities Commissioner. “Any investor who is unsure whether they own auction rate securities should immediately contact the Delaware Department of Justice or their broker.” Auction rate securities, also referred to as ARPS, short term paper, 7 day paper, or floaters, are
long-term financial instruments with interest rates that are reset through weekly or monthly auctions. When auctions run properly investors who hold these securities can buy and sell them on a regular basis. However, when there are not enough buyers for every ARS being offered for sale, auctions “fail” and investors are forced to hold their ARS until the next successful auction. Since early 2008, the majority of these auctions have failed and many investors have been unable to sell their holdings.
In response to investor complaints, state-led investigations into possible violations of securities laws in connection with the sale of ARS began in April. The North American Securities Administrators Association formed a multi-state Task Force, comprised of securities regulators in 12 states, to investigate whether Wall Street firms had systematically misled investors who purchased these securities. The Delaware Department of Justice Securities Unit is a Task Force member. Several investment firms have established telephone hotlines to respond to questions from customers concerning the repurchase of auction rate securities. Those firms and hotline numbers are: Bank of America: 866-638-4183 Citi: 866-720-4802 Deutsche Bank: 866-926-1437 Goldman Sachs: 888-350-2857 JP Morgan: 866-450-8470 Merrill Lynch: 888-706-1381 Morgan Stanley: 800-566-2273 UBS: 800-253-1974 Wachovia: 866-283-7943
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Media Release
November 14, 2008

Wilmington, DE – The Delaware Department of Justice today announced sentences in the following criminal cases:

Dana Goodman, age 38 of Easton, Maryland, pled guilty on September 3, 2008 in Sussex County Superior Court to 2 counts of Rape 4th degree, Felony Endangering the Welfare of a Child and Official Misconduct.
Between January, 2008 and May, 2008, Goodman engaged in a sexual relationship with a 17 year old student at Sussex Central High School, the school at which he was the Principal. Goodman was arrested by Delaware State Police on May 2, 2008. Goodman was sentenced today in Sussex County Superior Court by Judge Richard F. Stokes to 4 years in prison during which time he must complete an intensive sex offender treatment program. Incarceration will be followed by six months of Work Release and then 2 years of intensive Probation. Additionally, Goodman must undergo DNA and HIV testing as well as pay restitution to the victim compensation board. He was ordered to have no unsupervised contact with children, except for his own, must register as a Tier 2 sex offender, and will appear on the child abuse registry for life.
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Dennis Trotter, age 28 of Magnolia, pled guilty on September 23, 2008 in Kent County Superior Court to two counts of Assault 2nd Degree.
On May 30, 2008, Delaware State Police responded to a domestic complaint at Trotter’s residence. Trotter became belligerent and refused to cooperate with officers. As he was being taken into custody, Trotter injured a Trooper and a State Police K9. Trotter was sentenced on November 13, 2008 in Kent County Superior Court by Judge Robert B. Young to 12 days in prison followed by 1 year of Probation.
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Kenneth Hawkes, age 32 of Wilmington, pled guilty on September 22, 2008 in New Castle County Superior Court to 2 counts of Robbery in the 1st Degree, 2 counts of Robbery in the 2nd degree, and one count of Attempted Robbery.
Between December, 2007 and January, 2008, Hawkes used a BB gun to committed a string of four armed robberies and one attempted robbery throughout New Castle County at gas stations and convenience stores. He was arrested on April 2, 2008 by Delaware State Police. Kenneth Hawkes was sentenced today in New Castle County by Judge Jan R. Jurden to 6 years in prison, followed by 6 months of Work Release, and then 18 months of Intensive Probation.
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