In 2006, Michael E. Peppel, the former President and CEO of Dayton-based MCSi, Inc., was indicted in federal district court for the Southern District of Ohio for securities fraud and related charges which, under the applicable statutes, exposed him to a possible prison term of 20 to 50 years and a multi-million dollar fine. On August 11, 2010, Mr. Peppel pled guilty to three counts of the multi-count indictment. He was represented by Ralph W. Kohnen, Jackie M. Bennett, Arthur F. McMahon and Jeanne M. Cors of Taft Stettinius & Hollister LLP.
The sentencing hearing was held on October 24, 2011. During the hearing, Mr. Peppel, the father of 5, was honored with tributes by a number of family, friends and business associates who testified how he had significantly impacted their lives. Many also wrote letters on his behalf to the court. In addition, Mr. Peppel’s business associates testified that Mr. Peppel is a valued advisor to a growing Internet mail-order pharmacy company based in Florence, Kentucky, HealthWarehouse.com. All of these factors came in to play as the federal judge, at the end of a 3 1/2 hour hearing, imposed what she described as a huge departure from the sentencing guidelines. Departing downward from the recommended sentencing range of 97-121 months, the court imposed a term of imprisonment of 7 days, 3 years of Supervised Release and a $5 million fine.
As stated by Ralph Kohnen, “The outcome marked a significant achievement for our client given Taft’s depth in criminal defense and securities law — both corporate securities and securities litigation — which came into play to support our client. Over the years, the case was closely scrutinized in Dayton, and Mr. Peppel lost his livelihood and endured public shame and humiliation. We are very grateful for the decision.”
About Taft White Collar Criminal Defense Services
Taft represents clients who have been victimized, particularly by fraud or embezzlement, to ensure their interests are protected, working with prosecutors to protect our clients’ interests throughout the criminal prosecution, and prosecuting civil claims where necessary. The attorneys assist clients who may be involved in some way in criminal investigations or prosecutions. They help clients who have been charged with crimes, are under active investigation by law enforcement agencies, or who have been served with subpoenas, investigative demand letters, requests for interviews, and the like. For more information, visit: http://www.taftlaw.com/practices/58-white-collar-criminal-defense