Former General Motors metals buyer faces fraud and tax evasion charges

Fraud - Bealko accused of diverting $80 million to sports and entertainment businesses in Las Vegas

Daniel Bealko, 61, was the global commodity manager for light metals at the Detroit-based automaker from 1996 to 2003.

He is accused in a federal grand jury indictment of engaging in a scheme to divert $80 million from GM by selling bulk aluminium from the automaker to third parties in exchange for kickbacks.

An arraignment hearing was scheduled for March 20 for former General Motors executive Daniel Bealko and another man accused in the kickback scheme.

Bealko, 61, and Anthony Demetrius Brown, 46, of Illinois, were scheduled to appear before Judge Charles Kocoras of the US District Court for the Northern District of Illinois last week, according to court documents.

Prosecutors will seek to have Bealko detained without bond and to have preliminary bail for Brown set at $100,000, according to the documents.

Brown was expected to appear for the hearing, Assistant US Attorney Brian Hayes said. But an...


March 24, 2008

00:00 GMT