TULSA, Oklahoma –The former CEO of Arrow Trucking pleaded not guilty in federal court Monday to 23 counts including fraud and tax evasion.
James Douglas “Doug” Pielsticker is charged with bank fraud, tax evasion, conspiracy to commit bank fraud, conspiracy to commit tax evasion and failure to pay social security taxes.
Pielsticker was arrested in Dallas earlier this month, five years after the company he ran suddenly closed down.
As he left court on Monday afternoon, his attorney told News On 6 Pielsticker arrived an innocent man and left an innocent man.
Pielsticker is out of jail on a $50,000 unsecured bond. The judge ruled he can travel between Texas and Oklahoma since he lives in Texas now. The judge ordered him to surrender his passport but he told the judge he can’t find it.
Pielsticker entered his plea five years to the day after Arrow Trucking closed suddenly, stranding drivers across the country.
The indictment accuses Pielsticker of conspiring to commit bank fraud of at least $15,000,841.32 from May 4, 2009 to December 22, 2009. It says Pielsticker and a co-conspirator, which it does not name but describes as the company’s Controller and then Chief Financial Officer, conspired to defraud Transportation Alliance Bank of Ogden, Utah.
According to the indictment, Pielsticker and the co-conspirator created and sent false invoices to the bank on a daily basis saying Arrow Trucking was due more money than it actually had earned. It goes on to say the conspirators forced Arrow Trucking employees to pretend to be customers in phone conversations with the bank to further the scheme.
The indictment also accuses Pielsticker and the “co-conspirator A” of failing to pay federal income taxes withheld from Arrow Trucking employees for the last three quarters of 2009.
Pielsticker also took money from non-payroll accounts for his own use, according to the indictment.
The indictment says Pielsticker bought jewelry, sent payments to his ex-wife and made payments on a Porsche, Maserati and Bentley with money that belonged to Arrow Trucking.
Pielsticker also filed a false income tax return for 2007, 2008 and 2009, the indictment says. It accuses him of under reporting his wages by causing the company to pay his personal expenses.
Source: News On 6