Joe and Teresa Giudice Indicted on Money Fraud; Teresa Says “Nothing About Melissa’s Marriage Has Ever Come Out of My Mouth” (Updated 11/18/2013)
UPDATE 11/18/2013: On November 18, 2013, the federal government added two more counts to the 39-count indictment against the Giudices which was handed down on July 29, 2013. According to the indictment, the Giudices fraudulently obtained $5 million from mortgage loans, withdrawals from home equity lines of credit, and construction loans from 2001 to 2009 and failed to file tax returns for about $1 million in income from 2004 through 2008 (they are charged with mail and wire fraud, bank fraud, bankruptcy fraud and loan application fraud). According to U.S. Attorney Paul J. Fishman:
“The two additional counts stem from a $361,250 mortgage loan that Teresa Giudice obtained in July 2005. In the course of obtaining the loan, she and Giuseppe Giudice prepared a loan application which falsely stated that Teresa Giudice was employed as a realtor and that she had a monthly salary of $15,000. Teresa Giudice was not employed outside the home at the time.”
Click here to read details about their bankruptcy and federal indictment on money fraud.
July 29, 2013
Real Housewives of New Jersey’s Teresa Giudice and Joe Giudice — who have been plagued with financial problems for years — were indicted on fraud and tax charges on Monday, July 29. In his 39-count indictment, U.S. Attorney Paul J. Fishman charged the Bravo reality stars with conspiracy to commit mail and wire fraud, bank fraud, making false statements on loan applications and bankruptcy fraud.
“Today is a most difficult day for our family. I support Joe and, as a wonderful husband and father, I know he wants only the best for our lovely daughters and me,” Teresa tells Us Weekly in a statement. “I am committed to my family and intend to maintain our lives in the best way possible, which includes continuing my career. As a result, I am hopeful that we will resolve this matter with the government as quickly as possible.”
The indictment also charges Joe with failure to file tax returns from 2004 through 2008, during which time he allegedly earned nearly $1 million.
“The indictment returned today alleges the Giudices lied to the bankruptcy court, to the IRS and to a number of banks,” Fishman said in a statement. “Everyone has an obligation to tell the truth when dealing with the courts, paying their taxes and applying for loans or mortgages. That’s reality.”
Garden State natives Teresa, 41, and Joe, 43, are parents to daughters Gia (born 2001), Gabriella (born 2004), Milania (born 2005) and Audriana (born 2009). Teresa, who has authored several cookbooks, began appearing on The Real Housewives of New Jersey when the series — now in its fifth season — premiered in 2009.
“The privilege of living well in the United States carries certain real responsibilities, including filing tax returns when required and paying the correct amount of tax,” Shantelle P. Kitchen, Special Agent in Charge, IRS-Criminal Investigation, Newark Field Office, said. “Today’s indictment alleges the Giudices did not live up to their responsibilities by failing to file tax returns, falsifying loan applications and concealing assets in their bankruptcy petition. The reality is that this type of criminal conduct will not go undetected and individuals who engage in this type of financial fraud should know they will be held accountable.”
Conspiracy to commit mail and wire fraud carries a maximum prison sentence of 20 years, while bank fraud carries a maximum of 30 years. The remaining charges could result in more prison time — not to mention the hefty fines associated with each penalty.
The Giudices are scheduled to appear before Judge Cathy Waldor at the United States District Court in Newark, New Jersey, on Tuesday, July 30. A rep for Bravo had no comment when contacted by Us.
Teresa’s attorney, Henry Klingeman, tells Us:
“Teresa will plead ‘not guilty.’ The judicial process that begins today with an indictment is a search for the truth. As it moves forward, we look forward to vindicating her.”
Joe, a former pizza parlor owner, also faces 10 years behind bars for allegedly using his brother’s ID to obtain a driver’s license in 2010; he will appear in court on Oct. 28.
“Joe maintains his innocence,” his attorney, Miles Feinstein, tells Us Weekly in its July 29 issue. “It will be tough to choose a jury because of the high-profile defendant.”
July 29, 2013
Authorities, citing the indictment, said that between September 2001 and September 2008, Giuseppe and Teresa Giudice, both of Towaco, allegedly committed mail and wire fraud conspiracy by giving lenders fraudulent mortgage and other loan applications and supporting documents in an effort to obtain mortgages and other loans.
In addition, the Giudices falsely represented on loan applications and supporting documents that they were employed and/or taking home substantial salaries when, in fact, they either were not employed or were not receiving such salaries, authorities said of the indictment’s allegations.
For example, authorities said, in September 2001, Teresa Giudice applied for a mortgage loan of $121,500 for which she submitted a loan application that falsely stated she was employed as an executive assistant. She also turned in phony W-2 Forms and fake pay-stubs purportedly issued by her employer, authorities said.
The indictment also points to specific instances of the Giudices allegedly committing bank fraud and loan application fraud in the course of securing loans from several banks, authorities said.
On Oct. 29, 2009, the Giudices filed a petition for individual Chapter 7 bankruptcy protection in U.S. Bankruptcy Court in Newark, authorities said. Then during the next few months, they filed several amendments to the bankruptcy petition.
But as part of the bankruptcy filings, the Giudices were required to disclose to the United States Trustee, among other things, assets, liabilities, income, and any anticipated increase in income, authorities said. But the indictment alleges that the Giudices intentionally concealed businesses they owned, income they received from a rental property, and Teresa Giudice’s true income from the television show “Real Housewives of New Jersey,” website sales, and personal and magazine appearances, authorities said.
In addition, the Giudices allegedly hid an anticipated increase in income they expected to get from the then-upcoming Season Two of the “Real Housewives” show.
The Giudices are charged with multiple counts of bankruptcy fraud for concealing and making false oaths and declarations about assets and income during their bankruptcy case, authorities said.
The indictment also contends that during the tax years 2004 to 2008, Giuseppe Giudice received $996,459 in income, but failed to file tax returns for those years, according to authorities.
The conspiracy to commit mail and wire fraud counts brought against the Giudices carries a maximum potential penalty of 20 years of in prison, authorities said. The bank fraud and loan application fraud counts each carry a maximum penalty of 30 years in prison and a $1 million fine, Fishman’s office added. The bankruptcy fraud counts each carry a maximum penalty of five years in prison, authorities also said. And the failure to file a tax return counts against Giuseppe Giudice each carry a maximum penalty of one year in prison, they added.
The following is Teresa’s Bravo blog for season 5 episode 9.
Melissa’s Ex Bryan Bulldog Bowen Tweets That He’ll Be Telling His Side of the Story, the “Truth”; Retreat Fight Was Over Fame-Whorgas
The Gorgas are upset with Fame-Whorgas for breaking the story on January 16, 2013 about Melissa cheating on Joe with her ex-boyfriend, Bryan Bulldog Bowen (@bulldog_nj). The story broke just weeks before the retreat, so they were boiling over with fury at the time episode 8 was taped, February 10-12, 2013.
During the premiere of episode 8, Bryan, who hasn’t tweeted much about Melissa since February, tweeted “not to blame Teresa, we never even met!” and said, “I will be finally getting my side of the story out, or should I say ‘truth’, very soon”:
“I must have been high to have dated that biocth lmao. Thank God I listened to my family and ran like the wind lmao. Too bad me and my sister are UNBREAKABLE!! Lol ;) If they would have left me alone I would not even be commenting but since you didn’t, this will be you when I’m done (https://twitter.com/bulldog_nj/status/359118463798743040/photo/1). Ps don’t blame Teresa, we never even met! U wanna play!? I will be finally getting my side of the story out or should I say ‘truth’ very soon. No more poking at me!! Now it’s my turn!! :)) Well lets see…Lifestyles mag had a lot to say about me without ever meeting or speaking to me. Just listened to her! MY TURN! Highest bidder. There’s only so much a person can take ;) They bashed my name long enough. The best is she said ‘now’ we’re white trash for fighting. Lol you got me into fights every other wkd and loved it. You keying up my female friends Mercedes and hitting girls I spoke to wasn’t white trash? Lmao I can’t take it All you had to do was apologize… what?what?! what?!what?!what?! Nah it’s too late.”
On July 17, 2013, I received an e-mail from someone who explained their theory that the altercation at the retreat in Lake George was over Fame-Whorgas – the Gorgas couldn’t or didn’t want to say it out loud, but when Melissa was screaming at Teresa to “stop hurting us,” she was referring to Fame-Whorgas. She and her husband were blaming Teresa for all the cheating rumors because they believed (and may still believe) that she was the mastermind behind this site (which, of course, she is not).
It is understandable that the Gorgas are infuriated with Fame-Whorgas for exposing their lies and deception, but Teresa is not at fault.
“I personally know the Gorgas, Wakiles and Giudices. I knew Melissa before I knew Teresa, so there are a few things I would like for you to address: Melissa is convinced that Teresa is behind FameWhorgas. Melissa cannot seem to understand why someone would dedicate so much time to a blog about her – negatively! Melissa will contact a blog and throw Teresa under the bus – exactly why people like yourself report what you do about Melissa! Melissa does not seem to understand that bloggers are merely giving their opinion; in other words; they call Melissa’s bluff and it drives Melissa crazy. She always says she knows it is Teresa behind it. Melissa does not see that these sites see how Melissa is so transparent! Speaking of… You all see through her transparent ways.” – Anonymous Source, July 6, 2013
The following is the e-mail on the theory that the altercation at the retreat in Lake George was over Fame-Whorgas:
Hi, Fame. I am a long time lurker – from the start of your site. I really enjoy coming here but I don’t have the time to comment. I can barely keep up with reading the comments.
Usually your blog and commenters are spot on but I think I’ve caught on to something no one else has. Melissa emphasizing Gorga!! Gorga!! I couldn’t figure it out. At first I though she was playing off the internet blogs calling her and Joey “Marcos” but now I think she was saying it because of this blog. I think the entire argument and fight is about Famewhorgas.
Recall the entire episode. Teresa doesn’t know what she did wrong but everyone keeps alluding to her being behind the rumors about Melissa. How can everyone believe that based on one conversation with Jan? Take into consideration the email you received recently and it confirms, in my mind, that it was about Famewhorgas.
When Jill Zarin outed Lynn Hudson’s IHJZ blog on national TV, it increased Lynn’s hits exponentially. Melissa and Joey refuse to say the name but the clues are there: we’re not accusing you, we’re asking you to stop. You can’t hide your tracks, etc…Finally, Gorga… not Whorga.
Back to lurking. Thank you for all your hard work.
So Melissa repeating Gorg-ga, Gor-ga could have been her way of emphasizing that their name is not Whorgas and could have been her veiled attempt to drive home the point to Teresa that they know Fame-Whorgas is “the army she has behind her.” However, Teresa was clueless because she has nothing whatsoever to do with this site.
“She has to stop stabbing us in the back. Stop trying to put all this dirty stuff about us out there… She has this army behind her that’s spreading these allegations about my wife.” – Joe Gorga, Season 5 Episode 6
“I wanna know, what did I do?!” – Teresa talking to Juicy back in their room after the fight breaks up at the retreat, Season 5 Episode 8
“[Teresa and her brother have not been alone (without Juicy and Melissa) to talk to each other in probably years - the pain on her face and, yes, his face, looked real.] I think, and I believe this is what was being depicted in episode 8: Melissa has done everything in her power to keep Teresa and her brother from being alone together so that they really could talk. The scenes of Teresa and her brother talking with Dr. V and then cutting to Melissa at the table, so obviously uncomfortable that she wasn’t there to control what was going on – which is why she wouldn’t leave the room when Teresa and Rosie asked her to (“I have to protect you” – bullsh*t!!) – absolutely spoke volumesl!!! She really does not want a reconciliation between Teresa and her brother – never did and never will. She needs to control him and she can’t with Teresa in the way.” – Jeannie5233, July 21, 2013, Fame-Whorgas
“The icing on the cake was the conversation in the bathroom between the Gorgas the morning after the fight. It was all about Teresa and her success with all these ‘little cheap ass products’, ‘she’ll never get an endorsement from anyone’, and Melissa’s comment about Joe Giudice, that ‘we know where he is going – where he deserves to be’. JEALOUSY – PLAIN AND SIMPLE!!!! Melissa not leaving so they could talk – of course not, because she wanted the fight and doesn’t want them to reconcile. Melissa is such a conniving, manipulative bitch, and everyone should be able to see it after this episode. Melissa is the instigator and Gorga is ‘pussy whipped’.” – Isolde, July 22, 2013, Fame-Whorgas
After the fight breaks up and Melissa says, “This fuckin’ shoe polish all over,” Joe can be heard saying, “He fuckin’ cheats on my sister!” The following is part of the conversation between Melissa and Joe in their bathroom at the retreat, which demonstrates their jealousy over Teresa’s business success resulting from her exposure on the show:
Poison Joe: She doesn’t care. You know what she cares about? The next book deal. The next Fabellini.
Melissa: Fabellini! Fab-e-fuckin-lini sucks! She’s never gonna get a proper endorsement deal from a big company so what she does is, she goes and she makes all these little cheesy fuckin’ products and goes, like, ‘My Fabellini this and that’ (Joe, nodding his head in agreement) and she’s gonna just keep doing that.
Melissa TH: The more I think about what happened last night, the more I think that Teresa does not give a shit. I know that she is who she is and she’s not gonna change.
The retreat in Lake George, NJ was February 10-12, 2013. Fame-Whorgas was reporting, in real time, about events as season 5 was filming. Since Melissa reads FW (and reads the posts and comments to Joe), she and Joe would be affected by what was being reported at the time they were filming, and would be reacting to stories that were published in the weeks prior to the retreat.
“So you understand, Melissa is on FameWhorgas constantly. Melissa has to read Joe the comments and posts. He can read things like text messages and tweets, but a whole post? No!” – Anonymous Source, July 6, 2013
At the time, their anger at Teresa must have been full blown since they believed, and possibly still believe, she is behind FW. Here are the stories FW published around the time they visited the retreat:
Melissa Gorga’s Ex Boyfriend Bryan Bowen AKA ‘Bulldog’ (FW broke the story about Melissa’s affair)
Melissa Gorga’s Minions Launch Second Twitter Attack on Her Ex Bryan ‘Bulldog’ Bowen; Teresa Giudice Extends a Special Invite to Milania Hair Care Launch Party to be Filmed by Bravo with the Entire RHONJ Cast
Dina Manzo (Who Just Landed an Acting Role) Announces She is Getting Divorced; Is Jennifer Dalton Teresa Giudice’s or Melissa Gorga’s Friend?; Teresa to Get Revenge in Season 5 RHONJ?; Joe Gorga Berated Teresa for Not Visiting Him in the Hospital
I also believe that the fight Joe Gorga and the Lauritas started at the grand opening of Posche 2 on March 30, 2013, also may have been over Fame-Whorgas – but, by that time, they were blaming it on Penny Drossos and her husband, John Karagiorgis, which is why they assaulted him. The Lauritas got involved because they also are very unhappy with the stories about them published on this site. Message to the Gorgas and Lauritas: Neither the Giudices or John and Penny Karagiorgis are behind this blog.
Richie Wakile and the Gorgas Talk Smack About the Giudices on the Bus Ride to the Lake George Retreat
“We got a glimpse of how you chirp in Joey’s ear (next episode, bus ride). I’m sure off camera, it is even worse. You say you want to work it out, but you keep feeding your hubby BS like that, and that is why this is going no where. You are getting sloppy with your sneakiness! And I, for one, am glad the REAL you is finally being aired!” – kristyk, July 12, 2013, Melissa’s Bravo Blog
In the First Look (which aired on July 11, 2013) of season 5 episode 7, Rosie, the Wakiles and the Gorgas on the bus to Lake George talk smack about the Giudices, and Melissa’s mic picks up on her low whispering to Joe about the Giudice’s marriage (or as Teresa puts it, “Melissa is chirping in my brother’s ear” and “mindf*cking” him). She is a major hypocrite – pointing fingers at others when they talk about her marriage, and acting high and mighty as if she doesn’t do the same to Joe and Teresa.
In Melissa’s book (not the “marriage bible/sex book”), it’s perfectly fine for her to make cheating accusations about Joe Giudice but it’s not OK for Teresa to sit there while Melissa’s friend accuses her of cheating, the same friend that Melissa sat with two weeks earlier and laughed along with when they ridiculed and mocked Teresa. Melissa complains about what other people do when she does the exact same thing.
The following is a transcript of their discussion on the bus.
Richie: Listen, the Manzos and Lauritas, by them not coming to this trip, gave her such a big fuckin’ pass. Because they know. They used to hear it right from her mouth about my wife and about your wife. They can call her out on stuff.
Melissa: It would have been nice to have an extra mouthpiece.
Joey: I don’t think you’re going to change somebody that’s in competition, trying to be somebody they’re not. You’re not gonna change them! Joe to me, is, he’s a fake.
Melissa whispers to Joe, and the mic catches it (voice over – captions are on the screen): He doesn’t love her. He’s a cheater. He’s an asshole. So he doesn’t give a fuck what she does.
Melissa’s TH: Teresa wants me to go through what she goes through in her life. And I feel like she’s so mad that Joe embraces me and he comes home every night, and maybe it’s different over there. But that’s not fair to me.
Rosie to the Gorgas: Don’t go too much on their marriage.
Richie: They don’t have a god damn marriage.
lambyjj said on July 12, 2013 on Melissa’s Bravo blog:
I can’t wait to hear Melissa’s excuse for calling Joe Giudice a cheater…
(a) “I was driven to it emotionally. It’s Teresa’s fault.”
(b) “It was edited to make it look like I said that but I didn’t. It’s the editors fault.”
(c) “I forgot I was mic’d. It’s the sound recorders fault.”
(d) “I didn’t start the conversation, only added to it. It was everyone else’s fault.”
Last night on the First Look – there was a segment with Josephine, Melissa and the kids – Melissa is encouraging them to dance and there is a shot of little Joey dancing and grabbing his crotch. Melissa says “Oh, you’re doing Michael Jackson!”. That is what she told someone on Twitter when they called her out on that disgusting video of little Joey.
Two things –
First, maybe it is the “Michael Jackson” move but who teaches a kid that move at three years old??? I remember when MJ first did it, it caused alot of outrage and people were offended – and he was a grown man (well, sort of!). Grabbing your crotch and thrusting your hips is a blatant sexual move – let’s remember also that MJ’s fanbase demographic was composed of pre-teens, teenagers, and young adults. If you’re teaching your THREE year old how to dance, is that one of the first steps you would show him how to do? What ever happened to tap, ball, chain, and switch?? The Gorgas probably don’t even know what that is?!
Second, I think this particular scene was filmed to do damage control after the fallout from that video. The move little Joey made in that video and in this clip are similar but not exactly the same. In the video, he is clearly moving his arm up and down. By the airing of this clip, this brings up the video once more to those on social media who are already aware of it, raises the whole issue up again for debate, and opens the Gorgas up to new criticism.
If the Gorgas asked to have this scene filmed – and I think they did, thinking it would make people “understand” – they are dumber than bricks. It would have been far better to let this issue die a slow death. Idiots.
In a TH from last night’s First Look, this is what Josephine said about why he wants to go to the Retreat – it’s definitely fighting words and certainly not for reconciliation:
“I wanna go and confront Teresa. She has this army behind her that’s spreading these allegations about my wife. I’m fu*king pissed! What is she doing?!?!?!”
When Teresa screams at Josephine that he is listening to strangers – not his blood, I believe that she was referring to the blogs, tabloids, and social media.
Then Fame got the email saying that Melissa thinks FW is orchestrated by Teresa.
I believe both of these references from the show confirms what Fame’s source said. The Gorgas just cannot fathom and wrap it around their pea-sized brains that other people – MASSES of people, not just Teresa – see them for who they really are and are calling them out on it!
The following are transcripts of other previews for episode 7.