The $32 million fraud case against Alan Fabian, a major Republican party donor, widened Wednesday when a federal grand jury added several new charges.
Fabian, who served as former Lt. Gov. Michael Steele?s finance director during his 2006 bid for U.S. Senate, was indicted in August after he allegedly created two companies to purportedly purchase $32 million in computer hardware and software for other businesses. But Fabian?s companies never purchased the equipment or bought much less expensive equipment, according to the indictment.
Wednesday?s indictment accused Fabian of two counts of filing false tax returns and one count of making false statements in connection with a tax return
Fabian, a certified public accountant, has donated more than $44,000 to Maryland?s Republican Central Committee and various GOP candidates since 2001, the year federal prosecutors say he began one of the largest fraud schemes in Marylands history.
Fabian also co-chaired the national finance committee for Republican presidential candidate Mitt Romney, but resigned after his indictment.
The new charges allege that on April 15, 2003, Fabian filed a false individual federal tax return for the tax year 2002 indicating that he and his spouse had total income of $475,827 when in fact, he knew that he had unreported additional income of at least $500,000 obtained from his participation in a scheme.
The two indictments seek a forfeiture of $32 million in assets, including eight properties in North Carolina and a property in Hunt Valley, a Silverton yacht, three vehicles, and Fabian?s interest in several companies.
If convicted, he faces dozens of years in prison.
