Feds Say $3.177M Passed to Charlemagnes in Woodpile Contract; Prosecutors Seek $3M-Plus Forfeiture as Trial Nears

Federal prosecutors are seeking a money judgment of at least $3 million against Davidson and Sasha Charlemagne and forfeiture of more than $158,000 from three Banco Popular accounts, while also asking to delay the July 17 trial in the federal woodpile fraud case because of trial-preparation concerns.

In a June 29 trial brief filed in District Court, the United States laid out the evidence it expects to present against the Charlemagnes, alleging that more than $3.177 million in HUD disaster-recovery funds passed through the Virgin Islands Housing Finance Authority’s woodpile contract to accounts controlled by the couple. The government says those funds were obtained through fraudulent schemes tied to false insurance certifications, alleged false claims, falsified timesheets and money laundering.

The trial remains scheduled for July 17 before District Judge Mark A. Kearney, but prosecutors disclosed that they have filed a pending motion to continue pretrial deadlines and the trial date. The government cited “unforeseen circumstances” affecting counsel’s ability to prepare, along with the lack of an adequately prepared newly appointed co-counsel.

Davidson Charlemagne is charged with one count of fraud concerning programs receiving federal funds, one count of wire fraud, nine counts of false claims upon the United States, and one count of money laundering conspiracy. Sasha Charlemagne is charged with nine counts of false claims upon the United States, one count of money laundering conspiracy, and one count of wire fraud.