Latest / NO FILTER / EMT strangles ex-wife and burns her body in house fire(MP3_160K)
Transcript
- 0:00Speaker 1: I'm Chris Hansen right now on Crime Watch Daily.
- 0:02Speaker 2: From here in New York City, an emt and his
- 0:13Speaker 2: loving wife.
- 0:14Speaker 3: She was a devoted mother, very cheerful.
- 0:18Speaker 1: Leave New York City and start over in a quiet
- 0:20Speaker 1: small town.
- 0:21Speaker 4: When suddenly the entire house is fully engulfed in fire.
- 0:26Speaker 4: In the basement, lying on the glore Catherine's body.
- 0:29Speaker 1: This was no accident, this was murder. So who wanted
- 0:33Speaker 1: Catherine Novak debt?
- 0:35Speaker 4: Of course a husband would be an initial first person
- 0:37Speaker 4: to look at her.
- 0:38Speaker 1: Problem is He's got an ironclad alibi.
- 0:42Speaker 3: He was with his mistress, Michelle of France. Was kind
- 0:45Speaker 3: of a piece of work.
- 0:46Speaker 1: He takes his kids, packs up with the girlfriend and
- 0:48Speaker 1: heads to the beach until one day a phone call
- 0:52Speaker 1: comes into police. It solves the puzzle city lawyer. Then
- 0:58Speaker 1: he's the famous TV house flipper from property war stole
- 1:02Speaker 1: from the elderly and built a multi million dollar house
- 1:05Speaker 1: of cars.
- 1:06Speaker 5: It's the largest fraud scheme in the state of Arizona's history.
- 1:09Speaker 1: Today, Crime Watch Daily has the secret recordings that brought
- 1:12Speaker 1: him down.
- 1:13Speaker 6: Christ fifteen million dollars stuff.
- 1:15Speaker 1: Right now, let's.
- 1:17Speaker 7: Go Jason Motowa with Prime Watch Daily.
- 1:19Speaker 5: I miss also goa from Crimewatch Daily.
- 1:21Speaker 8: Yes, let's be smart from Crimewatch Daily.
- 1:23Speaker 9: It's Ana Garcia from crime Watch Daily.
- 1:25Speaker 3: You got anything to say?
- 1:27Speaker 1: Is crime Watch dally?
- 1:28Speaker 2: What you don't know?
- 1:29Speaker 10: If she's thirteen, you're running away?
- 1:31Speaker 11: Now.
- 1:34Speaker 1: Welcome to crime Watch Daily. Everyone, I'm Chris Hansen. We
- 1:37Speaker 1: start today in New York And, a tinytown about two
- 1:40Speaker 1: hours northwest of Manhattan, the population just four hundred and
- 1:43Speaker 1: thirty one people. A place where folks go when they
- 1:46Speaker 1: get tired of city life and want a fresh start. However,
- 1:49Speaker 1: for her husband and wife, Paul and Catherine Novak, as
- 1:52Speaker 1: a place where their troubles would only begin. Michelle Sagode
- 1:55Speaker 1: is here now with today's top story, Fire and Ice.
- 2:01Speaker 9: It's a world away from the bustle of the big city.
- 2:03Speaker 9: The little town of Narrowsburg, New York, a rustic little hideaway.
- 2:08Speaker 12: It's a very beautiful and old town and built on
- 2:12Speaker 12: lumber and dairy farms, and now is really kind of
- 2:16Speaker 12: a second home, owning hamlet.
- 2:18Speaker 9: It's exactly what cheery, young mom Katherine Novak was looking
- 2:22Speaker 9: for to raise her family.
- 2:24Speaker 12: She was a devoted mother, very modest, very cheerful, the
- 2:29Speaker 12: kind of mother who would donate her time to the classroom,
- 2:34Speaker 12: who would donate her time to watching other people's kids.
- 2:39Speaker 9: Katherine is raising her two young kids in this old
- 2:42Speaker 9: farmhouse along with her husband, Paul, an emergency medical technician
- 2:46Speaker 9: still working two hours south in New York City.
- 2:49Speaker 12: When he showed up, he was usually wearing a uniform,
- 2:52Speaker 12: so I thought perhaps he had done some heroic things.
- 2:55Speaker 12: I assumed that he was a fine and upstanding citizen.
- 3:00Speaker 9: Paul and Catherine met years before in the hardcore life
- 3:04Speaker 9: of the EMT service. She was the sweet, shy volunteer.
- 3:08Speaker 9: He was the first responder with a powerful presence.
- 3:12Speaker 12: The first responder world is not something that people who
- 3:15Speaker 12: aren't first responders really understand. You're dealing with life and
- 3:19Speaker 12: death every minute. It's kind of a subculture.
- 3:23Speaker 9: But raising kids in the big city is too much
- 3:25Speaker 9: for Catherine. The family moves upstate to Narrowsburg to get
- 3:29Speaker 9: away from it all, and for Catherine it's a breath
- 3:33Speaker 9: of fresh air.
- 3:34Speaker 12: She was a kind of a born volunteer. She worked
- 3:36Speaker 12: at the church, she worked at the school. She liked
- 3:39Speaker 12: to give her time to the community, not just her children,
- 3:43Speaker 12: but to the community.
- 3:44Speaker 9: But Paul still craves the high adrenaline world of the
- 3:47Speaker 9: first responder. He spends several nights a week in the
- 3:51Speaker 9: city rather than brave a four hour round trip commute.
- 3:54Speaker 4: But Catherine was not a complainer, and Catherine did not
- 3:57Speaker 4: complain to her friends about Paul.
- 4:01Speaker 9: But soon enough, the stream between the city and country
- 4:04Speaker 9: is pulling their marriage apart. Late one night, it breaks.
- 4:09Speaker 4: The phone range in the middle of the night, and
- 4:11Speaker 4: it's a woman on the other end calling for Paul.
- 4:15Speaker 9: The other woman is Michelle La Franz, a younger, newer
- 4:19Speaker 9: EMT trainee.
- 4:21Speaker 4: That phone call corroborated what she had suspicions.
- 4:24Speaker 9: About Catherine's suspicions are now crystal clear.
- 4:28Speaker 4: He had told her that he did not want to
- 4:30Speaker 4: be with her anymore, he didn't love her, and he
- 4:32Speaker 4: wanted out.
- 4:33Speaker 9: Paul heads back to the hustle of New York City
- 4:36Speaker 9: for good, shacking up with his new girlfriend, splitting custody
- 4:40Speaker 9: of the kids, and leaving Catherine a nervous wreck.
- 4:43Speaker 12: Catherine was so concerned about her kid's well being that
- 4:46Speaker 12: she actually took Michelle out to lunch at the Diner
- 4:50Speaker 12: in Narrowsburg and was very friendly with her, just trying
- 4:54Speaker 12: to figure out whether she was capable, trustworthy, and working
- 4:58Speaker 12: out with her how she wanted those two to be
- 5:00Speaker 12: taken care of.
- 5:01Speaker 3: And that's the kind of mother that she was, that
- 5:03Speaker 3: she would.
- 5:03Speaker 12: Actually sit down with this girl and have a conversation
- 5:06Speaker 12: with her and eat a meal with her, making sure
- 5:09Speaker 12: that she knew how to take care of the children.
- 5:12Speaker 9: Then, on a cold December morning, any chance of an
- 5:15Speaker 9: amicable split comes crashing down. It's six point thirty am.
- 5:20Speaker 9: A neighbor awakens to find Catherine's house consumed in flames.
- 5:25Speaker 4: She looks outside and she can see the entire house
- 5:27Speaker 4: is fully engulfed in fire.
- 5:30Speaker 9: The neighbor calls nine to one one. Firefighters race to
- 5:33Speaker 9: Catherine's home deep in the woods, but it's too late.
- 5:37Speaker 9: The house is obliterated. The burning wreckage collapsed into the basement.
- 5:42Speaker 12: Just looking at the scene, they weren't able to tell
- 5:45Speaker 12: what had happened. The house was burned to almost nothing.
- 5:49Speaker 4: The big question on everybody's mind, fire service, the arson people,
- 5:53Speaker 4: the neighborhood was where was Catherine?
- 5:57Speaker 9: Then a terrible.
- 5:58Speaker 4: Sight and the bay lying on the glore Catherine's body
- 6:02Speaker 4: severely burned.
- 6:04Speaker 9: Thankfully, Catherine's beloved children are safe at Paul's apartment in
- 6:08Speaker 9: New York. But Catherine has died in the fire alone.
- 6:13Speaker 4: When her body was found, that was really catastrophic to
- 6:16Speaker 4: the community. When you have a fire like that, and
- 6:18Speaker 4: then when you have a death like this, it resonates
- 6:21Speaker 4: very strongly.
- 6:23Speaker 9: Investigators painsakingly search for the cause of the fire and
- 6:27Speaker 9: what remains of the house.
- 6:29Speaker 4: They took apart this house for the better part of
- 6:32Speaker 4: two days, piece by piece by piece.
- 6:34Speaker 9: It's not long before they uncover some odd clues at
- 6:37Speaker 9: the scene. The state of Catherine's body is raising serious
- 6:41Speaker 9: red flags.
- 6:42Speaker 4: She was found lying on her back, but that's not
- 6:45Speaker 4: the way you would find somebody who was killed in
- 6:48Speaker 4: a fire, because she would see them in a more
- 6:50Speaker 4: fetal position, and also in a position it would reflect
- 6:52Speaker 4: that they were struggling to find a place to get out.
- 6:55Speaker 9: And there's something even more puzzling. In the basement. Close
- 6:59Speaker 9: to where Catherine's body is found lies another body, the
- 7:03Speaker 9: family dog.
- 7:05Speaker 12: The dog had been locked in a kennel and had
- 7:07Speaker 12: smoke in its lungs had died of smoke inhalation.
- 7:11Speaker 9: Unlike her dog, Catherine's autopsy shows no smoke, no lethal
- 7:16Speaker 9: levels of carbon.
- 7:17Speaker 12: Monoxide, her lungs did not show that she had been
- 7:20Speaker 12: inhaling the smoke.
- 7:22Speaker 9: That can only mean one thing. Catherine died before the
- 7:26Speaker 9: fire even started.
- 7:28Speaker 4: And then suddenly the circumstances surrounding her death changed dramatically.
- 7:34Speaker 9: And Catherine's autopsy shows something even more alarming. Three dislocated
- 7:38Speaker 9: ribs and a strange pulling of blood.
- 7:42Speaker 4: Dead people don't bleed, people who are alive do. Finding
- 7:47Speaker 4: the hemorrhage around the fracture sites reflected that she was
- 7:51Speaker 4: injured and bleeding at some point before she died. It
- 7:55Speaker 4: became even clearer to us. So we had a very
- 7:57Speaker 4: highly suspicious deffear.
- 8:01Speaker 9: Coming up. Where there's no smoke, there's murder.
- 8:04Speaker 12: Some people in the town were suspicious immediately.
- 8:08Speaker 9: Avengful husband, a jealous mistress, or someone else.
- 8:13Speaker 4: She told us for the first time the name that
- 8:15Speaker 4: we've never heard before.
- 8:19Speaker 1: We're back with more of today's story, Fire and Ice
- 8:22Speaker 1: once again. Here's Michelle Sigana Chris.
- 8:24Speaker 9: A fast moving fire would claim the life of a
- 8:27Speaker 9: mother and leave investigators here with the New York State
- 8:30Speaker 9: Police wondering whether it was an accident or murder. It's
- 8:36Speaker 9: the biggest news ever to hit the tiny town of
- 8:39Speaker 9: Narrowsburg the death of quiet on assuming school volunteer Katherine Novak.
- 8:45Speaker 3: I picked up the local paper.
- 8:47Speaker 12: I saw on the front page a color picture of
- 8:50Speaker 12: a burning house and the headline local woman dies in fire,
- 8:54Speaker 12: and in the first paragraph I read that it was Catherine.
- 9:00Speaker 9: Catherine is discovered in the ashes of a house burned
- 9:02Speaker 9: to the ground, her body scorched almost beyond recognition. But
- 9:07Speaker 9: was it an accident? Right from the start, something's not
- 9:11Speaker 9: adding up.
- 9:12Speaker 12: My immediate instinct was that she had been murdered, just
- 9:17Speaker 12: because I'm a journalist, and because I knew that she
- 9:21Speaker 12: was involved in this divorce, and I just assumed something
- 9:25Speaker 12: suspicious about this.
- 9:27Speaker 9: Then suspicions turned real with a strange bit of forensic evidence,
- 9:32Speaker 9: no smoke in her lungs and broken ribs, indicating she'd
- 9:35Speaker 9: been assaulted before the fire.
- 9:37Speaker 12: She had died at some point before the fire actually
- 9:41Speaker 12: consumed the house.
- 9:43Speaker 4: This was a highly suspicious death that needs to be
- 9:46Speaker 4: investigated to its full extent, because we're probably looking at
- 9:50Speaker 4: somebody killing her.
- 9:52Speaker 9: But who would kill this quiet and friendly mother of two.
- 9:56Speaker 4: There was a lot of pressure on all of us
- 9:58Speaker 4: to find out what happened.
- 10:00Speaker 9: New York State Police check for any similar crimes in
- 10:03Speaker 9: the area.
- 10:04Speaker 4: One of the things you would look at is is
- 10:06Speaker 4: there an arsonist out there? The answer to that was no.
- 10:09Speaker 4: Is there some sex offender traveling around the area that
- 10:13Speaker 4: we need to look at. There was none of that,
- 10:15Speaker 4: So all of the usual things that you would start
- 10:19Speaker 4: to look at started to come back empty.
- 10:23Speaker 9: It's no random crime, and there is someone who arouses
- 10:27Speaker 9: a lot of suspicion.
- 10:29Speaker 4: Of course, her husband would be an initial first person.
- 10:31Speaker 10: To look at.
- 10:32Speaker 9: It's their estranged husband. Paul Novak now shacking up in Queens,
- 10:37Speaker 9: New York with his new girlfriend, Michelle of France, a
- 10:41Speaker 9: young EMT trainee. People found odd.
- 10:45Speaker 3: Michelle of France was kind of a piece of work.
- 10:47Speaker 12: She was a wild child, a troubled child, diagnosed with
- 10:51Speaker 12: some emotional or mental illness at a young age, had
- 10:55Speaker 12: attempted suicide.
- 10:58Speaker 9: And both Paul Novak and the Shell of France might
- 11:01Speaker 9: have plenty of reason to hold a grudge against Paul's
- 11:04Speaker 9: ex wife.
- 11:05Speaker 12: Some people in the town were suspicious immediately. Her friends
- 11:09Speaker 12: in the town were very aware of this simmering conflict,
- 11:14Speaker 12: a simmering.
- 11:15Speaker 9: Conflict that many thought would boil.
- 11:17Speaker 4: Over Catherine after the breakup, had changed all of the
- 11:22Speaker 4: locks and in the house so that he didn't have
- 11:26Speaker 4: access to the house.
- 11:29Speaker 9: But remember, Paul says he was at his apartment in
- 11:33Speaker 9: New York with his kids two hours away when the
- 11:36Speaker 9: fire started, and his girlfriend, Michelle confirms it.
- 11:41Speaker 4: The spouse had at that point what we viewed as
- 11:43Speaker 4: a quote ironclad alibi. He had his girlfriend his significant
- 11:47Speaker 4: other saying he was with me in Long Island at
- 11:50Speaker 4: the time of the fire.
- 11:53Speaker 9: But cops aren't so sure. They hook Novak up for
- 11:56Speaker 9: a polygraph exam. The result, Paul passes the test. His
- 12:02Speaker 9: answers show no deception.
- 12:04Speaker 4: It was indicative that he passed it. We were up
- 12:07Speaker 4: against the wall.
- 12:10Speaker 9: Cops are stomped.
- 12:12Speaker 4: He had an alibi and we didn't have any other suspects, and.
- 12:16Speaker 9: With no suspects, the case goes cold.
- 12:21Speaker 4: We know there's something wrong here. We know this death
- 12:23Speaker 4: is suspicious. We don't have any of the leads to
- 12:25Speaker 4: look at.
- 12:27Speaker 9: Despite passing the polygraph, Paul Novak still stays a blip
- 12:31Speaker 9: on cops radar for one very glaring reason, and.
- 12:35Speaker 4: It was substantial money involved.
- 12:37Speaker 10: So there's only one person with motor less than.
- 12:40Speaker 9: A year after Catherine's death, the grieving X collects a
- 12:44Speaker 9: hefty insurance payout, three hundred thousand dollars for the house
- 12:48Speaker 9: and five hundred thousand more for the mother of his children, Catherine.
- 12:53Speaker 9: It's enough to finance Paul and Michelle's move to Florida
- 12:57Speaker 9: and a comfortable new life.
- 13:00Speaker 3: Was Palm Beach.
- 13:00Speaker 12: It wasn't mar a Lago, but it was a nice
- 13:03Speaker 12: He had some nice digs with a swimming pool. I mean,
- 13:05Speaker 12: that's pretty that's pretty nice for somebody who grew up
- 13:07Speaker 12: in apartments in Queens, New York.
- 13:11Speaker 9: And with plenty of cash in their pockets, Paul and
- 13:14Speaker 9: Michelle could live the high life. So he takes the
- 13:17Speaker 9: kids away from their extended family, packs up with his
- 13:22Speaker 9: new girlfriend.
- 13:24Speaker 3: Leaves his emt job behind. The way he.
- 13:27Speaker 4: Goes down to Florida, we were pretty much at a
- 13:30Speaker 4: stalemate of where we could go.
- 13:33Speaker 9: There's still no evidence of murder, and that stalemate goes
- 13:37Speaker 9: on for years, leaving the plot where Catherine's house once
- 13:42Speaker 9: stood covered by season after season of snow. It seemed
- 13:46Speaker 9: the tragedy of Catherine's death was nearly forgotten, except by
- 13:51Speaker 9: one person who places a call to the new York
- 13:54Speaker 9: State Police out of the blue.
- 13:56Speaker 4: Not only did we get her whole life story, but
- 13:59Speaker 4: we also got the details of what she said she
- 14:03Speaker 4: knew about the murder of.
- 14:04Speaker 9: Catherine, coming up a story that keeps cops on the
- 14:09Speaker 9: edge of their seats.
- 14:10Speaker 4: He told him that the chloroform didn't.
- 14:14Speaker 9: Work involving the third person saving lives or taking them.
- 14:19Speaker 3: There was a third person involved and his name.
- 14:21Speaker 1: Was The investigation into the suspicious death of Catherine Novak
- 14:29Speaker 1: had stalled. Please had long believed her husband, Paul, a
- 14:32Speaker 1: former New York emt, had killed her and set their
- 14:35Speaker 1: home ablaze, but they had no proof. In fact, he
- 14:37Speaker 1: had passed a line to Techer test. However, as our
- 14:40Speaker 1: Michelle sa go To reports, there's one thing that Paul
- 14:43Speaker 1: didn't count on Chris.
- 14:45Speaker 9: After being cleared in his wife's suspicious death, former New
- 14:48Speaker 9: York paramedic Paul Novak would move to Florida with his mistress,
- 14:52Speaker 9: leaving his old life behind. Or sooey thought. It's been
- 14:57Speaker 9: almost four years since Katherine Novak died horribly in a
- 15:00Speaker 9: house fire. The only one cops ever suspected is her husband, Paul.
- 15:05Speaker 13: Obviously, there were suspicions and concerns that we.
- 15:07Speaker 9: Had suspicions and concerns, but no proof Paul Novak had
- 15:12Speaker 9: anything to do with Catherine's death.
- 15:15Speaker 13: At that point, we didn't have a lead or an
- 15:18Speaker 13: investigative step that we could follow.
- 15:20Speaker 9: At that time, Novak's taking a hefty insurance payout and
- 15:25Speaker 9: moved as far as he can from the tragedy. But
- 15:27Speaker 9: in that swinky new house in the Florida Coast, Novak's
- 15:31Speaker 9: life with Michelle la France isn't so sunny.
- 15:34Speaker 3: And he wasn't changing.
- 15:36Speaker 9: In fact, he was on match dot com. He met
- 15:39Speaker 9: another woman and he cheated on the shop.
- 15:41Speaker 3: Yeah, well, he started to cheat on her.
- 15:43Speaker 12: He started to look around and he then went on
- 15:46Speaker 12: match dot com. She finds out about it. She decides
- 15:51Speaker 12: she's had enough and they split off.
- 15:56Speaker 9: Michelle is out and Novak's Internet date in once again.
- 16:01Speaker 9: Paul Novak seemingly puts his ex wife's feet far behind him,
- 16:05Speaker 9: but someone else is still haunted by the ghost of
- 16:09Speaker 9: Catherine Novak.
- 16:11Speaker 3: When did this case take a turn for you?
- 16:13Speaker 13: In April twenty twelve, I re seeing a voice a
- 16:16Speaker 13: phone call from Michelle of France.
- 16:19Speaker 9: New York State Police investigator Michael Kelly is as surprised
- 16:23Speaker 9: as anyone when the case suddenly breaks wide open all
- 16:27Speaker 9: over again by a jilted lover honey lawyer.
- 16:32Speaker 3: The New York State Police took her phone call seriously.
- 16:35Speaker 12: They went down to Florida and interviewed her on camera
- 16:39Speaker 12: for hours.
- 16:42Speaker 9: Rapped by guilt and fear, Michelle tells a hair raising tale.
- 16:47Speaker 14: He had me convinced that Catherine was the bad guy
- 16:51Speaker 14: and he was the good parent, and these kids were abused,
- 16:53Speaker 14: and these kids are missionable on the two Kens, we need.
- 16:56Speaker 12: To see the news.
- 16:58Speaker 9: Novak's six solution kill Catherine, using knowledge glean from years
- 17:03Speaker 9: working as an EMT.
- 17:05Speaker 14: He was researching things on the internet. He was going
- 17:08Speaker 14: to chloroform her, leave her, and then burn the house
- 17:11Speaker 14: down around her, and she's gonna.
- 17:12Speaker 4: Die the fire. She had a lot of mental health issues,
- 17:16Speaker 4: but recollection was incredible. She remembered dates, times, places, and
- 17:23Speaker 4: details because she was very smart.
- 17:26Speaker 9: Michelle's detailed account of what Novak did to Catherine that
- 17:29Speaker 9: night is terrifying. Early in the morning on December seventeenth,
- 17:34Speaker 9: he enters Catherine's home through the basement, setting off a
- 17:37Speaker 9: fire alarm, drawing Catherine to the basement where he's lying
- 17:41Speaker 9: in wait.
- 17:43Speaker 14: And told me that they were fighting and that they
- 17:45Speaker 14: were rolled hair out on the basement stairs floor for
- 17:48Speaker 14: like forty five minutes, and that's why he was saying.
- 17:52Speaker 9: And Michelle tells cops Novak's chloroform scheme it didn't go
- 17:57Speaker 9: as plan.
- 17:58Speaker 14: This was supposed to be game hameless and now she
- 18:04Speaker 14: was supposed to be passed down before she knew what happened,
- 18:06Speaker 14: but I guess he put it over her mouth and
- 18:08Speaker 14: it didn't work.
- 18:09Speaker 3: She was screaming, biting her for her life.
- 18:12Speaker 9: That's when Catherine's heartless X puts an end to their
- 18:16Speaker 9: broken family for good over Catherine's terrified please.
- 18:21Speaker 14: And he told me that the only thing he said
- 18:24Speaker 14: to her the entire time that he was fighting with
- 18:27Speaker 14: her was I doing this for the kids. And he
- 18:30Speaker 14: said that.
- 18:31Speaker 15: She had been wearing a good sweatshirt and that he
- 18:34Speaker 15: finally took a sweatshirt were and wrapped it around her
- 18:37Speaker 15: neck and held it stop breathing.
- 18:42Speaker 9: Then, in a deranged finishing move, Novak sets his former
- 18:46Speaker 9: house ablaze to cover his tracks. A horror fine story,
- 18:52Speaker 9: but could anyone back it up? That's when Michelle of
- 18:56Speaker 9: Franz drops a bombshell. Novak didn't do it alone.
- 19:02Speaker 4: She told us that for the first time, the name
- 19:06Speaker 4: that we've never heard before was Scott Sherwood.
- 19:10Speaker 3: He was another EMT and he was this sort of.
- 19:15Speaker 12: Big emotional guy, like six foot seven, like a gentle giant,
- 19:21Speaker 12: and also had emotional problems which were well known to
- 19:26Speaker 12: the crew as far as I know.
- 19:29Speaker 15: Scott was locked in the car and Paul.
- 19:33Speaker 14: Walked down to the house.
- 19:35Speaker 12: Paul identified him as somebody that he could manipulate, and
- 19:39Speaker 12: he asked him to drive him up to Narrowsburg on
- 19:45Speaker 12: the night that he was going to start this fire
- 19:48Speaker 12: at the house and get rid of his wife.
- 19:52Speaker 9: Cops verify every detail of her statement leading up to
- 19:55Speaker 9: a sit down with that so called gentle giant Scott Sherwood.
- 19:59Speaker 10: Months Let's go from the beginning, Paul, you meet Paul.
- 20:04Speaker 9: Where turns out Sherwood is also racked with guilt and
- 20:09Speaker 9: spills everything.
- 20:11Speaker 10: I was driving.
- 20:13Speaker 4: We were driving up towards where his residence was, where
- 20:17Speaker 4: Catherine stole.
- 20:18Speaker 9: He claims he drove Novak to Narrowsburg and waited in
- 20:22Speaker 9: his truck until Novak returned and said two final words.
- 20:26Speaker 14: He said, it's dark.
- 20:29Speaker 3: And what was he saying.
- 20:30Speaker 13: The facts in terms of what he alleged happened that
- 20:33Speaker 13: night to Catherine bear out to be very it's not
- 20:35Speaker 13: exactly what Michelle France had told us a thousand miles
- 20:38Speaker 13: away months before.
- 20:40Speaker 4: So all of these what we call little pieces start
- 20:45Speaker 4: to form a very big picture of a very big puzzle.
- 20:49Speaker 4: It starts to show what happened to Catherine.
- 20:51Speaker 3: Novin at any time during your conversation with her? Did
- 20:55Speaker 3: you think there was an ulterior.
- 20:56Speaker 9: Motive coming off? Paul Novak is back in the hot seat. Sorry, yes, sir,
- 21:06Speaker 9: Will his own words bury him or his accusers.
- 21:10Speaker 10: I don't have anything to hide.
- 21:12Speaker 8: You can ask me anything you want.
- 21:17Speaker 1: We return now with the conclusion of today's story, Fire
- 21:20Speaker 1: and Ice. Here's Michelle Sigana Chris.
- 21:23Speaker 9: We've all heard the term hell hath no fury like
- 21:26Speaker 9: a woman scorn. Well, no one understands these words more
- 21:30Speaker 9: than former paramedic Paul Novak. Paul Novak's ex girlfriend, Michelle
- 21:35Speaker 9: La France, has spun a harrowing tale how the New
- 21:38Speaker 9: York City paramedic got rid of his ex wife Catherine
- 21:42Speaker 9: once and for all.
- 21:44Speaker 14: He was researching things on the internet. He was going
- 21:47Speaker 14: to clark on her, leave her and then burn the
- 21:49Speaker 14: house down around her.
- 21:50Speaker 10: And she's gonna die.
- 21:51Speaker 9: And Novak's alleged accomplice. Scott Sherwood now backing up Michelle's
- 21:56Speaker 9: story word for words, He said, cops know it's time
- 22:01Speaker 9: to have another heart to heart with Paul Novak, but
- 22:04Speaker 9: Novak's not playing ball.
- 22:07Speaker 10: How long am I going to be here?
- 22:09Speaker 14: So you're onner the rest.
- 22:11Speaker 2: I was not aware of that.
- 22:12Speaker 14: I'd like to speak to a lawyer and I would
- 22:14Speaker 14: be devised.
- 22:15Speaker 10: You will have every opportunity.
- 22:16Speaker 4: Okay.
- 22:17Speaker 9: In Novak's mind, Catherine's death was just an accident, but
- 22:20Speaker 9: cops now believe he was a calculated murder.
- 22:24Speaker 10: You don't want to question.
- 22:25Speaker 8: You about the homicide, but you are on your rest
- 22:28Speaker 8: a homicide, you, citizen.
- 22:31Speaker 4: Okay.
- 22:32Speaker 13: I think when you realize our purpose for being there,
- 22:35Speaker 13: that you availed himself as his attorney so he never
- 22:38Speaker 13: related story.
- 22:39Speaker 9: Tis detectives play hardball, tugging it Novak's heart streams, and
- 22:44Speaker 9: now you and.
- 22:45Speaker 13: I, Scott, have to sit down and figure out the
- 22:47Speaker 13: want because at some point your kids are gonna ask him,
- 22:50Speaker 13: because if you don't explain that to him, they're never
- 22:52Speaker 13: gonna have that answer. They're gonna spend the rest of
- 22:54Speaker 13: their life searching for Still.
- 22:56Speaker 9: Novak won't budge can be a lawyer, but prosecutors are
- 23:04Speaker 9: convinced they have enough to charge Paul Novak with first
- 23:07Speaker 9: degree murder for killing his ex wife.
- 23:11Speaker 4: This was a person who had an ability to do things,
- 23:16Speaker 4: horrible things, and have absolutely no conscience about that.
- 23:19Speaker 9: Leading up to the trial, Paul Novak refuses to talk
- 23:22Speaker 9: to the cops, but he is telling his side of
- 23:25Speaker 9: the story to reporters.
- 23:27Speaker 10: Did you kill your wife?
- 23:28Speaker 14: No?
- 23:28Speaker 10: I did not.
- 23:29Speaker 8: I actually found out that they found a body in
- 23:33Speaker 8: the basement from my mother, and I said, do I
- 23:37Speaker 8: need a lawyer?
- 23:37Speaker 1: He goes, we like you.
- 23:38Speaker 8: We know you didn't have anything to do with this,
- 23:40Speaker 8: but the DA wants us to ask you some questions
- 23:42Speaker 8: just to keep you in the clear and make everyone
- 23:44Speaker 8: feel a lot better. So I'm like, all right, I mean,
- 23:48Speaker 8: I don't have anything to hide. You can ask me
- 23:50Speaker 8: anything you want.
- 23:51Speaker 9: And in court, Novak points the finger right back at
- 23:55Speaker 9: his former girlfriend, Michelle of France and the man claiming
- 23:58Speaker 9: to be his partner in Scott Sherwood.
- 24:02Speaker 4: At the trial that tried to blame the murder on
- 24:04Speaker 4: Michelle La France and Scott Sherwood, but they had no
- 24:07Speaker 4: motive to commit the murder, and the only person that
- 24:10Speaker 4: collected around eight hundred thousand dollars is real to Catherine's
- 24:13Speaker 4: death was pulled over.
- 24:15Speaker 9: The prosecution claims all the evidence pointed at only one person,
- 24:19Speaker 9: Paul Novak. There's a receipt from a nearby Walmart for
- 24:23Speaker 9: a hat and duct take placing Paul in the area
- 24:26Speaker 9: that morning, and a tow booth easy pass ping on
- 24:29Speaker 9: the way back from Catherine's house shortly after the murder.
- 24:33Speaker 4: The evidence against Paul Novick was overwhelming once it all
- 24:36Speaker 4: came to light and all the pieces were put together.
- 24:40Speaker 9: Novak never testifies, but his defense does call his thirteen
- 24:45Speaker 9: year old daughter to this stand. Hearts are breaking in
- 24:48Speaker 9: the courtroom as the little girl tearfully defends her daddy.
- 24:53Speaker 12: The minute that she sat down, everybody just was ready
- 24:56Speaker 12: to burst into tears because here she was trying to
- 24:59Speaker 12: protect this guy, her daddy, I mean, the only parent left,
- 25:03Speaker 12: and she refused to believe that he had done anything.
- 25:07Speaker 9: Journalist Nina Berlee knew Catherine personally, and the daughter's testimony
- 25:12Speaker 9: only paints a picture of the parent who was no
- 25:15Speaker 9: longer there.
- 25:16Speaker 12: You know, I looked at her, and I saw the
- 25:18Speaker 12: little girl who had played with my boy, with her long,
- 25:21Speaker 12: big black hair, and all I could think about was
- 25:22Speaker 12: how Catherine used to brush that hair, and that little
- 25:25Speaker 12: girl used to cry as girls do, and how that
- 25:29Speaker 12: mother loved that girl.
- 25:30Speaker 3: It's just tragic.
- 25:33Speaker 9: The heartfelt testimony doesn't sway the jury. Paul Novak is
- 25:37Speaker 9: found guilty of killing Katherine in cold blood.
- 25:39Speaker 4: The judge sentence Paul Novac on the murder in the
- 25:42Speaker 4: first degree charge to the maximum sentence, which is life
- 25:45Speaker 4: in prison without parole.
- 25:47Speaker 9: Scott Shurewood pleaded guilty with conspiracy to commit murder, but
- 25:51Speaker 9: his cooperation gets him just a year and a half
- 25:53Speaker 9: in jail.
- 25:54Speaker 3: Scott is remorseful.
- 25:56Speaker 15: One hundred percent. It's he was caught up in Paul
- 26:00Speaker 15: Novak's plan. Paul manipulated him completely. He was so upset
- 26:05Speaker 15: with himself and how bad he felt, especially for her kids,
- 26:09Speaker 15: that he didn't do more.
- 26:11Speaker 9: And what about Michelle la France, the one who blew
- 26:14Speaker 9: the whistle on her ex boyfriend. In a move that
- 26:17Speaker 9: stuns many observers of the case, she walks out of
- 26:21Speaker 9: the court, Scott free getting no jail time, and at
- 26:26Speaker 9: the end of.
- 26:26Speaker 3: The day she gets to walk free. What do you
- 26:28Speaker 3: think of that?
- 26:29Speaker 15: Paul Novak is behind bars for the rest of his
- 26:32Speaker 15: life and without her testimony would have been enough. Sometimes
- 26:36Speaker 15: you have to choose between the greater evil and the
- 26:39Speaker 15: lesser evil.
- 26:41Speaker 9: It's an evil that still haunts everyone left behind. And
- 26:45Speaker 9: a little town that was a refuge to Catherine Novak.
- 26:49Speaker 12: I drove over it just to say my goodbyes to
- 26:53Speaker 12: her and look at the place, and it was sad.
- 26:56Speaker 12: I mean, when you have seen a family living in
- 26:59Speaker 12: a house with children, and then you come there and
- 27:02Speaker 12: you see what's left as a garage and just flat
- 27:07Speaker 12: wildflowers and grass where the house used to be a
- 27:10Speaker 12: little depression in the ground and everything else just gone
- 27:15Speaker 12: vanished with a few years time, and it was just
- 27:19Speaker 12: so terribly sad.
- 27:23Speaker 1: Paul Novak appealed his conviction and was denied. Scott tru
- 27:26Speaker 1: had served his time and is now out of prison.
- 27:30Speaker 1: Next a reality star living the good life.
- 27:34Speaker 16: Very fancy and very expensive cars, multimillion dollar homes.
- 27:38Speaker 1: But there was one problem.
- 27:40Speaker 10: His lifestyle was at the expense of others.
- 27:42Speaker 1: How he used his house flipping fame to a fraud
- 27:46Speaker 1: investors out of millions, and the cheaut recording that brought
- 27:50Speaker 1: him down. Helm me up. Now to Arizona, where a
- 27:56Speaker 1: popular reality TV star is facing the cold, hard reality
- 28:00Speaker 1: that he won't see the outside of a prison for
- 28:02Speaker 1: a long time. Today, we've got new details on what
- 28:05Speaker 1: put of there and how he was eventually brought down.
- 28:09Speaker 1: When the reality series Property Wars debuted in the summer
- 28:12Speaker 1: of twenty twelve, the cast became instant celebrity So Lost.
- 28:17Speaker 16: In Arizona, so z on Discovery Channel, and it was
- 28:20Speaker 16: based right here in Phoenix.
- 28:21Speaker 1: Yes, each week they'd purchase four closed homes sight unseen,
- 28:26Speaker 1: fix them up, then sell them.
- 28:28Speaker 2: For a profit.
- 28:28Speaker 1: Auct In President coming through Furniture store owner Scott Managgat
- 28:32Speaker 1: was one of the show's bossy bidsters. Oh plenty. I
- 28:36Speaker 1: could say, you must ask man, but I'm being nice today.
- 28:42Speaker 16: He's a New Yorker, very bold personality, would go in
- 28:45Speaker 16: try to get these great deals.
- 28:47Speaker 1: Reporter Katie Connor of Phoenix affiliate ABC fifteen says Scott's
- 28:52Speaker 1: tough talk made him a standout star.
- 28:55Speaker 16: Everyone here in the valley in Phoenix. No Monagan is
- 28:57Speaker 16: kind of like a local celebrity.
- 29:00Speaker 1: Was going to be treated like a celebrity. He wanted
- 29:03Speaker 1: to live like one as well.
- 29:04Speaker 7: His house was one of the most expensive houses purchased
- 29:08Speaker 7: that year in Scottsdale, Arizona.
- 29:11Speaker 1: The desert estate looked more like a ritzy resort than
- 29:14Speaker 1: a family home. It came complete with a putting green,
- 29:17Speaker 1: waterfalls and giant palm trees in oversized swimming pool, a
- 29:23Speaker 1: lazy river, even its own sandy beach.
- 29:26Speaker 10: It's a beautiful house.
- 29:27Speaker 1: And Scott's taste for the extravagance certainly didn't stop with
- 29:31Speaker 1: a Managged's mansion.
- 29:32Speaker 7: He had multiple vehicles, all expensive luxury vehicles.
- 29:37Speaker 1: Got all surprised when Property Wars was picked up for
- 29:41Speaker 1: a second season. Scott Managged seemed unstoppable. My son Brandon,
- 29:45Speaker 1: he's nine years old. He has my attitude and my
- 29:48Speaker 1: same good looks. But things aren't always as they see.
- 29:52Speaker 16: This is how the public pretty much new scottan Nagged,
- 29:55Speaker 16: But really, federal prosecutors say he was just stealing a
- 29:59Speaker 16: lot of money from elderly and also all of their families.
- 30:04Speaker 1: In reality, the stars of reality television aren't paid enough
- 30:07Speaker 1: to finance lifestyles of the rich and famous. So Scott
- 30:11Speaker 1: used his fame to defraud investors out of millions.
- 30:14Speaker 5: After he started working on property wars that he really
- 30:18Speaker 5: gained the complete trust of some of his hard money lenders.
- 30:21Speaker 1: One of those lenders was Denny Chitnick, owner of Densco
- 30:25Speaker 1: Investment Corporation. Scott convinced him to cut check after check.
- 30:29Speaker 5: Scott managed convinced Denny Chitdick when he was purchasing a house,
- 30:33Speaker 5: or supposedly purchasing a house, to wire him funds directly.
- 30:36Speaker 5: That typically doesn't occur. Money is wired directly to a
- 30:39Speaker 5: trustee or a title company.
- 30:42Speaker 17: What he had done was that he took out the loans,
- 30:46Speaker 17: submitted documentation to prove that he had purchased the home,
- 30:49Speaker 17: but in fact he did not.
- 30:51Speaker 1: Instead, Scott was pocketing the money, and we're not talking
- 30:55Speaker 1: about pocket change.
- 30:56Speaker 5: And the amount of money that was laundered or changed
- 31:00Speaker 5: hands was in excess of seven hundred million dollars.
- 31:04Speaker 1: And investors had no idea they were being ripped off.
- 31:07Speaker 7: If you didn't follow Scott around after every transaction, you
- 31:11Speaker 7: wouldn't know that there, in fact was no house. The
- 31:14Speaker 7: addresses were correct, it was the paperwork showing that he
- 31:18Speaker 7: purchased the house.
- 31:18Speaker 10: That was false.
- 31:20Speaker 15: Of the twenty seven hundred and twelve transactions that mister
- 31:23Speaker 15: Managgat did, only ninety six were actual real estate purchases.
- 31:29Speaker 1: In like a house build from cards. Scott was paying
- 31:32Speaker 1: back the interest on the loans he took out with
- 31:35Speaker 1: money from other loans.
- 31:37Speaker 17: Scott Managgat's fraud scheme required a lot of analysis, a
- 31:41Speaker 17: lot of pre planning.
- 31:43Speaker 1: But why would Denny Chitdick, or anyone else for that matter,
- 31:46Speaker 1: loan one person tens of millions of dollars to my
- 31:49Speaker 1: property without ever confirming that property was actually being.
- 31:53Speaker 7: Purchased because he felt he knew him from the TV show.
- 31:57Speaker 7: I think that a person just off the street wouldn't
- 32:00Speaker 7: have gained instant trust.
- 32:02Speaker 1: Scott Managa didn't just rely on his newfound fame.
- 32:06Speaker 5: He's a very charming individual. He's very convincing.
- 32:11Speaker 1: Up next, the loans are about to run drawn that
- 32:14Speaker 1: Scott finds a new source for cash.
- 32:17Speaker 17: Individuals that he'd find on the obituary section of the
- 32:21Speaker 17: newspaper and in.
- 32:22Speaker 1: A Crime Watch Daily exclusive, here are the secret recording
- 32:26Speaker 1: that brought down the famous flipper.
- 32:28Speaker 6: Oh do not want to sit insign a prison, so.
- 32:32Speaker 1: He became famous flipping houses on reality TV, but a
- 32:35Speaker 1: few federal agents started watching him for a different reason.
- 32:39Speaker 1: Today we've got all new details on the largest case
- 32:41Speaker 1: of fraud ever seen in the state of Arizona. In
- 32:46Speaker 1: the summer of twenty twelve, a cast of tough talking
- 32:49Speaker 1: Arizona house flippers helped turn the reality series Property Wars
- 32:53Speaker 1: into a hit.
- 32:54Speaker 11: Doug wants to race me on foot, and there's no
- 32:57Speaker 11: buffet line to get into at the nursing home.
- 32:59Speaker 10: I can't.
- 33:01Speaker 1: Scott Managaed was one of the show's standout start, a
- 33:04Speaker 1: native New Yorker with a big appetite for all things extravagant.
- 33:09Speaker 1: Katie Connor is with our Phoenix affiliate ABC fifteen.
- 33:13Speaker 16: He had a very lavish lifestyle, very fancy, very expensive cars,
- 33:18Speaker 16: multimillion dollar homes, and he had also been on these
- 33:21Speaker 16: very lavish trips all around the world.
- 33:25Speaker 1: The Fed say Scott stopped at nothing to turn his
- 33:28Speaker 1: Champagne wishes and canvey Our dreams into reality.
- 33:31Speaker 10: His lifestyle was at the expense of others.
- 33:36Speaker 1: Scott used his house flipping fame to build millions of
- 33:39Speaker 1: dollars from lenders. Densco Investment Corporation was one of his
- 33:43Speaker 1: many sources of income, writing managed checks to purchase foreclosures,
- 33:48Speaker 1: but most of those properties were phonies. Scott was just
- 33:51Speaker 1: pocketing the money, and it was a lot of money,
- 33:54Speaker 1: close to seven hundred million in fake transactions.
- 33:58Speaker 7: When the music stopped, there was no money left.
- 34:03Speaker 1: So Scott cooked up a news scheme using his furniture
- 34:06Speaker 1: stores to defraud the dead.
- 34:08Speaker 17: He started taking the names of recently deceased individuals individuals
- 34:13Speaker 17: that he'd find on the obituary section of the newspaper,
- 34:17Speaker 17: and submit fraudulent loan applications to banks, claiming that the
- 34:22Speaker 17: individuals had come in to make purchase of furniture, when
- 34:26Speaker 17: in fact they did not.
- 34:28Speaker 1: That scam quickly netted Scott more than two million dollars,
- 34:32Speaker 1: but the banks being ripped off soon tipped off the FEDS.
- 34:35Speaker 7: I remember talking to the case agent and thinking, this
- 34:39Speaker 7: is a desperation type fraud because at some point you
- 34:43Speaker 7: can't have multiple people pass away after they buy your furniture.
- 34:48Speaker 7: They may think there's something wrong with the furniture. It's
- 34:50Speaker 7: killing people.
- 34:52Speaker 1: Investigators with the Department of Homeland Security and the IRS
- 34:56Speaker 1: knew Neurondo something much bigger than identity.
- 34:59Speaker 7: The using this new fraud to pay to try to
- 35:04Speaker 7: pay back for an old fraud. We wondered what the
- 35:07Speaker 7: vice was.
- 35:09Speaker 1: Denny Chittick didn't have to wonder. His company, Densko, was
- 35:13Speaker 1: already insolvent when he finally confronted Scott.
- 35:16Speaker 16: Nagget actually, according to a deposition, lied and said that
- 35:20Speaker 16: his wife actually had cancer and his cousin was running
- 35:22Speaker 16: the company.
- 35:23Speaker 5: He said that the cousin had stolen twenty five million
- 35:26Speaker 5: dollars and he was in the process of working with
- 35:28Speaker 5: his cousin to repatriate that money.
- 35:31Speaker 1: But none of it was true. Scott managed soon filed
- 35:35Speaker 1: for bankruptcy. The next time the two men met, Denny
- 35:39Speaker 1: secretly recorded their conversation. The recording obtained exclusively by Crime
- 35:44Speaker 1: Launch Daily.
- 35:45Speaker 15: If I don't get that money back, Densko goes down
- 35:48Speaker 15: and the whole thing implodes.
- 35:50Speaker 11: Ultimately, the back which is over.
- 35:55Speaker 1: Denny wasn't buying it.
- 35:56Speaker 8: You said, if they liquidate everything, there's going to be
- 35:59Speaker 8: fifteen million.
- 36:00Speaker 11: Dollars there, and they're going to give it to me.
- 36:02Speaker 11: Where's the fifteen million dollars coming from?
- 36:04Speaker 4: What are my own.
- 36:05Speaker 1: Equity repaying Densco wasn't Scott's biggest concern.
- 36:11Speaker 6: I'm not going to prison.
- 36:12Speaker 12: I have two kids.
- 36:13Speaker 1: I'm not going to prison because of the bankruptcy. Scott
- 36:17Speaker 1: said he'd need Denny's help to keep them both out
- 36:19Speaker 1: of the big house.
- 36:20Speaker 6: I have to turn over financial statements. I have to
- 36:23Speaker 6: turnel over the bank statements. I turn over the bank
- 36:26Speaker 6: statements and there's gonna get a ton of questions. So what
- 36:29Speaker 6: I've done is I've redone my books.
- 36:32Speaker 1: And there could be no paper trail to show what
- 36:34Speaker 1: he'd really done.
- 36:36Speaker 11: All they have a bunch of hole in the story
- 36:38Speaker 11: in those seats.
- 36:39Speaker 1: He's talking about the fake receipts showing proof of sale
- 36:43Speaker 1: on hundreds of forclosure is that he never really purchased.
- 36:46Speaker 11: If there's any doubt in their mind that he want
- 36:49Speaker 11: going to disclose those receipts, I need you to tell
- 36:52Speaker 11: me how before I make my statement, because then they'll
- 36:55Speaker 11: both go. I can't have to versions.
- 36:58Speaker 16: I'm looking at the.
- 37:01Speaker 11: Nut the criminal.
- 37:02Speaker 1: Scott was certain the millions of dollars ye O Densko
- 37:06Speaker 1: could be explained very simply.
- 37:08Speaker 11: It was a business deal with that and that's what
- 37:11Speaker 11: this is. And that's what my attorneys call him.
- 37:14Speaker 1: That Denny didn't share his friend's confidence.
- 37:18Speaker 2: With the information that they that you have to give them,
- 37:20Speaker 2: with the bank statements and everything.
- 37:23Speaker 9: I mean, you must have one hell of a lot
- 37:26Speaker 9: of confidence yourself.
- 37:27Speaker 2: You're going to talk your way through this.
- 37:29Speaker 11: You just need to make sure that the receipts never
- 37:31Speaker 11: come on. If I have to disclose for the seats,
- 37:34Speaker 11: I have to disclose ere and then.
- 37:36Speaker 1: We're not with millions ode to his investors in no
- 37:40Speaker 1: way to repay them. Denny Chittick was already done.
- 37:44Speaker 16: Shortly after that, that's when Chitik actually committed suicide.
- 37:48Speaker 1: His two sons found their dad's body hanging off the back.
- 37:51Speaker 1: Paddy Scott mcdagga's reaction.
- 37:54Speaker 5: Scott's response to one of his employees was, I believe
- 37:57Speaker 5: that Denny just handed us a gift.
- 37:59Speaker 7: He went out to celebrate the day Denny Chaddick had
- 38:04Speaker 7: killed himself, Scott managed went to a pool party.
- 38:09Speaker 1: Scott thought his fraud scheme would now be concealed forever.
- 38:13Speaker 7: He felt, I think at that point no one was
- 38:16Speaker 7: around that could identify what he'd done, and if anyone
- 38:21Speaker 7: did find out.
- 38:22Speaker 5: The spin was gonna be Denny Chittick requested that we
- 38:28Speaker 5: fabricate documents and provide documents.
- 38:31Speaker 1: But in addition to their secretly recorded conversation, Chittick left
- 38:35Speaker 1: behind the paper trail that Scott had desperately hoped to
- 38:38Speaker 1: keep hidden.
- 38:39Speaker 7: Oh perfect, Scott managed, was you know, done in by
- 38:43Speaker 7: the paper trail.
- 38:44Speaker 1: Nearly a year after Denny Chittick's suicide, the fence closed
- 38:48Speaker 1: in on Scott Managga. This exclusive video of the raid
- 38:51Speaker 1: on his furniture store was captured by our Phoenix affiliate
- 38:54Speaker 1: ABC fifteen.
- 38:56Speaker 16: We were there that morning as fed our investigators pulled
- 38:59Speaker 16: up on marked vehicles, who went into the store, put
- 39:03Speaker 16: crime tape up, came back out with boxes and boxes
- 39:07Speaker 16: of evidence.
- 39:08Speaker 1: That same day, the famous Flipper was arrested along with
- 39:11Speaker 1: three co conspirators, employees who'd helped him carry out the
- 39:15Speaker 1: biggest case of fraud in Arizona history.
- 39:18Speaker 7: Generally, his employees, most likely, had they not worked for him,
- 39:24Speaker 7: probably would have been law abiding citizens.
- 39:28Speaker 1: Despite the overwhelming evidence against him, Scott managgaed thought he
- 39:31Speaker 1: could get away with it.
- 39:33Speaker 5: He found motion after motion to be released from custody.
- 39:37Speaker 5: The courts agreed with the government that he was in
- 39:40Speaker 5: fact a flight risk because of the amount of money
- 39:42Speaker 5: that was missing.
- 39:43Speaker 1: In this case, managged eventually pleaded guilty to bank fraud,
- 39:48Speaker 1: money laundering, and aggravated theft laterheads.
- 39:51Speaker 17: The judge gave Scott no leniency when he sentenced him
- 39:54Speaker 17: to seventeen years in prison. The reflections of the damage
- 39:58Speaker 17: that he caused to the commune, to his friends, loved ones,
- 40:03Speaker 17: and business partners, and even his own family.
- 40:06Speaker 1: The damage to his family evidenced by this GoFundMe page
- 40:10Speaker 1: set up by his teenage son. In it, he desperately
- 40:13Speaker 1: asks for help after his Dan's arrested, writing now me
- 40:16Speaker 1: and my family are in a horrible spot financially. We
- 40:19Speaker 1: don't have enough money to pay the house bill. Those
- 40:22Speaker 1: pleas for donations went nowhere.
- 40:25Speaker 2: How at Brandon to learn what daddy does every day.
- 40:27Speaker 1: In the end, the only money left behind in the
- 40:30Speaker 1: wake of his father's fraud turned up in a box
- 40:33Speaker 1: in Denny Cheddick's tryer a half million dollars in cash,
- 40:37Speaker 1: perhaps a parting gift for loved ones who lost millions
- 40:41Speaker 1: of dollars because of his bad business dealings. And Scott
- 40:44Speaker 1: Mannaggat's read no one knows the source of that money,
- 40:48Speaker 1: but it was eventually turned over to the facts