UltraCade Founder Pleads Guilty To Conspiracy Charges
; (David Foley brother of Jeffrey) Disputes Key Facts In Indictment. Jeffrey Foley's previous experience was in running an Ice sculpture company. Read the 8-K and ask yourself if you want to invest in a company run by a Criminal.
SAN FRANCISCO -- David R. Foley, former CTO of Global VR and former owner of UltraCade Technologies, pled guilty on Jan. 9 to conspiracy charges stemming from sales of UltraCade game software several years ago and from making false statements on loan applications, according to the U.S. Department of Justice.
Mail and bank fraud carry maximum penalties of 20 to 30 years in prison and fines of $250,000 to $1 million, respectively.
However, Foley told local press outlets that while he takes responsibility for his actions, some of the government's charges are inaccurate in significant respects.
U.S. Attorney Melinda Haag of the U.S. Attorney's Office for the Northern District of California said Foley, 46, manufactured and sold counterfeit Global VR game software. Foley was also charged with other offenses, including submitting false claims in mortgage applications to secure more than $3 million in financing from Countrywide Home Loans.
According to Haag, in 2006 Foley manufactured thumb drives, known as "game packs," containing videogame software that could be loaded onto arcade video machines made for the home market.
The indictment asserts that Foley illegally produced these products from his home while working as the chief technology officer at Global VR, which had previously acquired all rights to produce and sell games under the UltraCade name.
The indictment charges that after producing the game packs, Foley sold the products to a codefendant located in Milford, CT, and agreed to sell the game packs to the public using packaging and advertisements that falsely represented the goods as manufactured by UltraCade.
Foley thereafter received payment for purchases of the illegally manufactured game packs by mail and wire, resulting in additional charges of mail and wire fraud, U.S. attorneys said.