6 accused of using stolen IDs to scam racetracks
A Revere group had what seemed like a good way to win at the racetrack - until their luck ran out.
That's according to federal prosecutors, who yesterday unsealed charges against a father and two sons from Revere and three others. They are accused of using stolen credit cards and phony IDs to scam more than $350,000 from racetracks across the country during a two-year binge.
The charges were filed at a time of growing attention to identity-theft crimes, which are driving steep losses for card companies and the banks that issue and process their plastic. In response, some merchants have begun checking signatures on the backs of cards more aggressively or demanding that customers use personal identification numbers.
But in the fraud described in papers unsealed in US District Court in Boston yesterday, the defendants allegedly focused on racetracks because they al lowed cash advances without the use of security codes and were accustomed to advancing large sums of money.
Also, the defendants "liked betting on horse racing."
Charged in the 28-count indictment were Donald Desimone Sr., 70, and two sons, James, 39, and Donald, all of Revere; Dennis Savarese, 50, of Austin, Texas; Richard Regnetta, 47, of Revere; and Arthur Rizzo, 53, of East Boston.
Attorneys for Donald Desimone Sr. and his son James both declined to comment yesterday at their initial appearance, where they did not enter pleas. Donald Desimone Sr. was released on bail, and James Desimone was held pending a further hearing this week. Attorneys for the others could not be reached.
Justice Department officials declined to discuss how the alleged fraud came to light, saying their investigation is ongoing. Card companies generally don't hold customers responsible for fraud losses, and a spokeswoman for prosecutors said they are still investigating whether the racetracks or card companies should be owed money as a result of losses stemming from the alleged conduct.
According to the indictment, the fraud began when Savarese stole credit cards from gym lockers at health clubs from Maryland to Washington state, particularly at Bally Total Fitness gyms, where he was a member.
The document says Savarese possessed a book, published by a trade group, that lists serial numbers and matching combinations for certain locks. He used this to steal credit cards but left other belongings intact and resealed the lockers he struck; often, the victims did not immediately miss their cards.
The indictment says he would steal five to 10 cards from as many as three gyms, then phone Rizzo or James Desimone with the names on the cards. They would then buy fake state identification cards from a store in Boston, using the stolen names, fake addresses, and their own photos.
Usually on a Friday night or Saturday morning at least some of the defendants would then fly to various tracks, including Emerald Downs in Washington state, Prairie Meadows Racetrack and Casino in Iowa, and the Del Mar Thoroughbred track in California. They would attempt to withdraw cash advances, usually between $1,000 and $9,000, with the aid of the fake IDs.
"The defendants repeated this pattern most weekends from at least June 2005 through August 2, 2007," the court filing states.
If convicted, the defendants face jail terms of more than 20 years in some cases, plus various fines and restitution payments.
Ross Kerber can be reached at kerber@globe.com.
