Southwest Missouri man pleads guilty in $17M fraud scheme

Water company cites reconnections

The May 22 tornado has caused a dramatic drop in water usage for the Missouri American Water Co., but things are starting to turn around — one reconnection at a time.

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March 19, 2010

Anonymous The Joplin Globe Fri Mar 19, 2010, 11:14 AM CDT

SPRINGFIELD, Mo. (AP) — A southwest Missouri businessman has pleaded guilty to federal charges in a scheme to market dietary supplements claiming they could cure or prevent diseases.

U.S. Attorney Beth Phillips says more than $17 million worth of the products were sold in 2005 and 2006 on several Web sites.

Forty-two-year-old Charles Thao of Springfield pleaded guilty Thursday to four counts of conspiracy.

Along with his wife and a Michigan man, Thao marketed the supplements falsely claiming they had been proven to treat or prevent such diseases as diabetes, gout and high blood pressure.

Thao agreed to forfeit the proceeds from the scheme and to turn over three Springfield properties and three vehicles. He faces up to 20 years in prison on each count.

His co-defendants pleaded guilty earlier.

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