Indictments at USA Drug | Arkansas Blog

Wednesday, June 3, 2009

Indictments at USA Drug

Posted By on Wed, Jun 3, 2009 at 4:21 PM

A release from U.S. Attorney Jane Duke announces the indictment of Garret Sorensen, a former vice president of USA Drug, and his wife and her sister for conspiracy to commit mail fraud, 29 counts of mail fraud and three counts of money laundering.

Sorensen, 39; Katherine Sorensen, 36, and her sister, Shannon Walters, 33, all live in North Little Rock.

Sorensen was vice president of advertising. Duke said the charges stem from transactions between him and Walters between 2003 and 20007. USA Drug had used a direct mail company for ad circulars and a media placement company to negotiate newspaper advertising. Both billed for services, the latter a 5 percent flat fee.

The three created Multi-Media Management, which took over ad placement in 2005. Their control was unknown to USA Drug.  Garrett Sorensen allegedly negotiated ad terms. Bills were sent to their intermediary, which inflated the charges. Garrett Sorensen then approved USA Drug payments.

The release said the three defrauded USA Drug of more than $525,000. Nearly $250,000 went to the Sorensens, who bought a boat, a Jeep and Suburban with the money, Duke said.

USA Drug is based in Pine Bluff and operates dozens of stores in several states.

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