PHILADELPHIA — A former CEO of Image Microsystems is seeking more than $1 million in damages against Crown Industrials, GE Supply and Northern Products Inc., citing alleged violation of the Racketeer Influenced and Corrupt Organization (RICO) Act, fraud and unjust enrichment.
Alex Abadi filed a complaint on Aug. 17, in the U.S. District Court for the Eastern District of Pennsylvania, against the defendants alleging that they acted in concert to submit false invoices for payment to a Texas-based company (Image Microsystems) for items that the defendants never shipped and the company never received.
The plaintiff alleges that between July 2014 and May 2017, he was unaware that one of his trusted employees and purchasing agent, Dan Adams, conspired with the defendants. The employee admitted that he had worked in concert with defendants in a scheme in which defendants issued fake invoices to Image Microsystems for products that the company neither purchased nor received.
The plaintiff holds Crown Industrials, GE Supply Inc. and Northern Products Inc. responsible, because the defendants allegedly agreed to and did conduct and participate in the conduct of the Image Invoice Enterprise’s affairs through a pattern of racketeering activity and for the unlawful purpose of intentionally defrauding plaintiff, according to the lawsuit.
The plaintiff requests a trial by jury and seeks in an amount in excess of $1,000,000 and such other relief as the court may deem just and proper. He is represented by Patrick J. Troy of Sirlin Lesser & Benson P.C. in Philadelphia.
U.S. District Court for the Eastern District of Pennsylvania Case number 2:18-cv-03493-JP