Category: News || By Submitted Report

State Attorney General Kathleen G. Kane today announced charges against 16 people in connection with an alleged illegal gambling operation in and around the city.

Evidence was presented to a statewide investigating grand jury, which recommended the charges being filed today.

According to a press release provided to Tube City Almanac by the Attorney General's Office, those charged include city Councilman Dan Carr, McKeesport Area school director Mark Holtzman, and Ron Melocchi of the city recreation board, Kane's office said. Former city police Lt. Art Pero is also charged, Kane's office said.

A person charged with a crime is presumed innocent until proven guilty, Kane's office said.

Kane said the investigation began in October 2012, when the organized crime section of the AG's office obtained a wiretap on a phone being used by Melocchi. Through his company, Back Alley Vending of Glassport, the attorney general's office claims that Melocchi was installing, servicing and maintaining video gambling devices in bars, restaurants and other businesses in the Mon-Yough area.

The investigation eventually grew to include alleged illegal lotteries and sports betting, Kane said.

Kane said that on Dec. 10, 2012, approximately 70 sealed state search warrants were executed at homes, businesses and banks associated with the alleged criminal operation. More than 350 video machines were seized, she said.

Investigators found most of them were equipped with "knock-off switches" and internal meters, which made them illegal gambling devices, she said. More than $1 million in cash was also seized, Kane said.

The defendants include:

• Robert H. Bogesdorfer, aka "Bo Wagner," 67, of Irwin, two counts of corrupt organization, one count of dealing in proceeds of illegal activity, one count of gambling devices and one count of conspiracy.


• Daniel K. Carr, 55, of McKeesport, two counts of corrupt organization and two counts of gambling devices.


• James A. Cerqua, 57, of Clairton, two counts of corrupt organization, one count of dealing in proceeds of illegal activity, one count of gambling devices and one count of pool selling and bookmaking.


• Catherine Gouker, 55, of Rostraver Twp., one count of gambling devices and one count of pool selling and bookmaking.


• Mark P. Holtzman, 57, of McKeesport, two counts of corrupt organization, one count of dealing in proceeds of illegal activity, one count of gambling devices and one count of conspiracy. (Holtzman, retired deputy chief of McKeesport police, was hired as police chief in Forward Twp. in January, according to an article in the Daily News. The attorney general's office said the alleged activities did not occur while Holtzman was serving as Forward Twp. police chief.)


• Rodney Elia Iannelli, 53, of Ross Twp., two counts of corrupt organization, one count of dealing in proceeds of illegal activity, one count of lotteries and one count of conspiracy.


• Eugene Thomas Kowalski, 65, of North Huntingdon Twp. is charged with two counts of corrupt organization, one count of dealing in proceeds of illegal activity, one count of gambling devices and one count of conspiracy.


• Terence P. McNelis, 52, of Pleasant Hills, one count of corrupt organization, one count of dealing in proceeds of illegal activity, one count of lotteries, one count of pool selling and bookmaking and one count of conspiracy.


• Ronald Melocchi Sr., 54, of West Newton, charged with two counts of corrupt organization, one count of dealing in proceeds of illegal activity, one count in criminal use of a communication facility, one count of lotteries, one count of pool selling and bookmaking and two counts of conspiracy.


• Timothy John Minkus, 31, of West Mifflin, two counts of corrupt organization, one count of dealing in proceeds of illegal activity, one count of gambling devices, one count of lotteries and one count of conspiracy.


• Kirk A. Mollica, 46, of Elizabeth Twp., two counts of corrupt organization, one count of dealing in proceeds of illegal activity, one count of lotteries, one count of gambling devices and two counts of conspiracy.


• Mark Novakovich, 55, of White Oak, one count of gambling devices.


• Arthur D. Pero, 56, of McKeesport, two counts of lotteries.


• Ronald D. Prest, 65, of White Oak, two counts of corrupt organization, one count of dealing in proceeds of illegal activity, one count of criminal use of a communication facility, one count of gambling devices and one count of conspiracy.


• Frank C. Reese, 61, of McKeesport, two counts of corrupt organization, one count of dealing in proceeds of illegal activity, one count of gambling devices and one count of conspiracy.


• Jeffrey F. Risha, 59, of Rostraver Twp., one count of pool selling and bookmaking.

The case is being handled by Senior Deputy Attorney General Michael Ahwesh, Kane said.

(From a press release by Carolyn E. Myers, assistant press secretary, Pennsylvania Office of the Attorney General)