PHILADELPHIA, PA — Alan Kane, 60, of Jamison, Pennsylvania, was sentenced on Monday, April 28, to 12 months and a day in prison for his participation in multiple fraud schemes. United States District Court Judge Michael M. Baylson also ordered Kane to pay $160,072 in restitution, a $1,000 fine, and serve three years of supervised release following his conviction.
Kane, an attorney, was found guilty in September on charges including two counts of bankruptcy fraud, one count of filing a false claim in a bankruptcy proceeding, and one count of making a false statement to the FBI. His conviction stems from his involvement in a series of fraud schemes laid out in a 12-count indictment filed in January 2024.
Kane’s criminal activities included assisting in a scheme to steal a house from the family of a deceased man, defrauding the City of Philadelphia of property taxes owed on that property, and manipulating bankruptcy proceedings to deprive creditors of rightful claims.
Kane represented Joseph Ruggiero in the stolen house case, filing deceptive counterclaims and knowingly supporting fraudulent deeds to substantiate ownership of the property. Simultaneously, he represented Ruggiero in an effort before the Social Security Administration to deny ownership of the same house to preserve Ruggiero’s eligibility for benefits.
Furthermore, Kane orchestrated a bankruptcy filing on Ruggiero’s behalf, knowingly using it as a tactic to halt the rightful owner’s efforts to reclaim the house. He also filed fraudulent claims in the bankruptcy process to divert equity from the property to co-defendant Jonathan Barger.
Barger, who collaborated with Kane on the schemes, had pleaded guilty in June 2024 and is scheduled for sentencing on May 12.
“As officers of the court, attorneys have an ethical and professional obligation to uphold the law,” said U.S. Attorney David Metcalf. “Instead, Alan Kane used his law license to help three clients commit federal crimes. Today’s sentence holds Kane responsible for his outrageous conduct and underscores the importance of respect for the rule of law.”
Reflecting on the case, Wayne A. Jacobs, Special Agent in Charge of FBI Philadelphia, noted, “Crimes like bankruptcy fraud undermine trust in our financial systems and harm individuals, businesses, and communities alike. The FBI…is firmly committed to protecting the integrity of our financial institutions and holding accountable those who manipulate, deceive, and defraud the public through complex and deceptive schemes.”
The case, investigated by the FBI, was prosecuted by Assistant United States Attorney Mark Dubnoff and Special Assistant United States Attorney Hannah McCollum.
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