Sheraton employees plead guilty to defrauding hotel

McCaysville GA – June 14, 2015 (hospitalitybusinessnews.com) According to a report by the Daily Pennsylvanian on Wednesday, two employees at the Sheraton University Hotel pled guilty in Pennsylvania federal court to defrauding Penn of more than $3 million.

The defendants, Kenneth Kapikian (General Manager), 57, of Wayne, Pennsylvania, and Dennis Gagliardi (Chief Engineer), 60, of Chester Springs, Pennsylvania, pleaded guilty to conspiring to defraud the University of Pennsylvania and the Sheraton University City Hotel.  Kapikian pleaded guilty to six counts of wire fraud and one count of conspiracy to commit money laundering; Gagliardi pleaded guilty to four counts of wire fraud and one count of conspiracy to commit money laundering.  Sentencing hearings are scheduled for September 14, 2015 for both defendants.

The defendants, engaged in a scheme to fraudulently obtain monies from the University of Pennsylvania by falsely billing the University for services the defendants never provided to the Sheraton University City Hotel.  They directed vendors of the Sheraton University City Hotel to inflate their invoices submitted to the hotel and then pay them the fraudulently inflated amounts as kickbacks.

Both men will be sentenced on September 14. Kapikian faces up to 140 years in prison and a $7.8 million fine, and Gagliardi could receive up to 100 years in prison and a $5.7 million fine.

 

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