[Hpn] HOMELESS-SCAM Church Fraud Trial begins jury selection - Greater Ministries International Church (fwd) Ministries International Church (fwd)

[Tom Boland]

"Church leaders ... led investors to believe profits would be used to feed
the homeless ..., prosecutors said." -- from article below

http://dailynews.yahoo.com/h/ap/20010108/us/greater_ministries_1.html
FWD  Associated Press - Monday January 08, 2001

JURY SELECTION IN TAMPA GREATER MINISTRIES CHURCH FRAUD TRIAL TO BEGIN

TAMPA, Fla. (AP) - Prosecutors say they intend to use videotapes seized
during a raid to help prove that five former church officials bilked
investors out of $1 million US in a pyramid scheme.

Jury selection begins Monday in the trial of Gerald Payne, his wife, Betty,
pastor Haywood "Don" Hall, David Whitfield and Patrick Talbert.

They were allegedly among seven members of the Greater Ministries
International Church who spearheaded the lucrative scheme, in which money
from later investors was used to pay off earlier investors.

From 1993 to 1998, parishioners of the Tampa-based church were told they
could double investments of $250 or more in 17 months, authorities allege.

Investigators estimate as many as 18,000 people from across the United
States invested as much as $500 million, money the church said came from
shrewd deals in gold and platinum mines and generous interest from overseas
banks.

Attorneys for the federal government are expected to show jurors videotapes
seized during a raid of the Greater Ministries offices in 1999.

In the tapes, the group is repeatedly reminded to refer to investments and
profits as gifts and blessings, prosecutors said.

Assistant U.S. Attorney Bob Mosakowski said church elders pocketed five per
cent commissions - amounting to more than $1.3 million - for recruiting
people into the scheme.

In 1998, church officials decided to cap outlays to each elder at $40,000 a
month, he said.

Church leaders said returns would be considered tax-free gifts from the
church and led investors to believe profits would be used to feed the
homeless and support foreign missions, prosecutors said.

"This was no scheme," Payne said in court papers, "but a true Christian
program of the church, which, through divine guidance, was able to bless
people who donated funds approximately twice the amount."

The trial is expected to last four weeks.

James Chambers and Andrew Krishak were also charged, but each pleaded
guilty last year to a single count of conspiracy and agreed to co-operate
with prosecutors.

Both face a maximum five years in prison and $250,000 fines at sentencing
March 12.

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