Three anti-government zealots were indicted by a federal grand jury in connection with an alleged scheme to extort money from public officials and top executives of Mid-Hudson Valley Federal Credit Union, after the lender foreclosed on one of their homes.
The men belong to a group called the Restore America Plan, which doesn't believe in drivers' licenses, banks or birth certificates. It asks members to become guardians of "free republics," according to court documents.
The bizarre plot came to light in April, when Ulster County (N.Y.) and public workers brought a civil racketeering case against the alleged conspirators. The suit accused six people of intimidating government employees by sending them fraudulent bills and filing liens against their personal property, totaling $143 billion.
A top credit union executive, as well as employees of Ulster County, the towns of Lloyd, Rosendale and Ulster, local cops and one town judge were hit with phony liens, according to court papers. The suit said the liens, among other things, affected the credit ratings of the plaintiffs.
The indictment charges when one of the suspects, identified as Richard Ulloa, fell into arrears on a mortgage held by Mid-Hudson Valley in December 2008 the credit union, by prior agreement, collected the amount in arrears from his savings account. The credit union then began foreclosure proceedings after the suspect subsequently fell back into arrears.
Ulloa allegedly began a campaign of harassment against the credit union, first sending numerous "Bills for Damage," one alleging $46 million in damages. Last October, Ulloa filed a lien against one credit union executive claiming the executive owed him $2.82 billion.
Late last month federal authorities arrested Ulloa, 41, who faces four counts of mail fraud and Ed Parenteau, 53, who was charged with mail fraud and conspiracy to commit mail fraud. A third suspect, Jeffrey Burfeindt, 47, is still missing.
