Former Nogales Mayor Octavio Garcia Von Borstel was sentenced Monday to 3 1/2 years in prison and seven years' probation on charges of fraud and illegally conducting an enterprise.
Von Borstel was facing between two and four years in prison after pleading no contest to the enterprise charge and guilty in June to the fraud charge in Pima County Superior Court.
Assistant Arizona Attorney General Michael Jette asked Judge Deborah Bernini for the maximum sentence, because he said Von Borstel committed the crimes for financial gain, had accomplices and, most importantly, violated the trust of the people of Nogales.
Defense attorney Christopher Scileppi asked for a two-year sentence, noting Von Borstel began his criminal activities while only 27, is remorseful and was responsible for many positive things while mayor.
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The Arizona Attorney General's Office sought indictments for Von Borstel and his father, Octavio Garcia Suarez, after Western Union won a civil lawsuit against them and investigators uncovered independent evidence that they were involved in money laundering, Jette said.
Investigators learned Von Borstel had set up a company called Legalizaciones and used the company to cash checks and obtain Western Union money orders through his father's check-cashing company, Western Cash Express, without actually paying for them. As a result, Western Union was defrauded of nearly $618,000, Jette said.
While investigating the fraud case, investigators found Von Borstel also had helped a number of companies get contracts with the city in exchange for kickbacks, Jette said.
Von Borstel pleaded no contest to illegally conducting an enterprise in connection with the contracts. He pleaded guilty to the Western Union-related fraud charge.
In exchange for the pleas, the Attorney General's Office agreed to dismiss bribery, conflict of interest and money laundering charges.
After the hearing, Jette said he was pleased with the sentence, but said it's unfortunate a public official had to be prosecuted and sentenced.
Von Borstel verified many Nogales residents' belief that the city is run on a "system of who you know and what can I do for you," Jette said.
Garcia Suarez, Von Borstel's father, pleaded guilty to two felonies in connection with the Western Union fraud. He will be sentenced to between two and four years on Oct. 31.
Bernini was assigned to the case after Santa Cruz Superior Court judges declared a conflict of interest.
On StarNet: Follow the news at Pima County's courthouses in Kim Smith's blog, At the Courthouse, at go.azstarnet.com/courthouse
Contact reporter Kim Smith at 573-4241 or kimsmith@azstarnet.com
