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Lawyer: Businessman Was Used By Polygamists In Fraud Scheme

An attorney for a California businessman who prosecutors allege led a nearly $500 million fraud scheme against the U.S. says his client is being scapegoated by polygamists.

 

Lawyer Mark Gerago made the assertion Thursday during his trial opening statement, saying Lev Arslan Dermen was used by others accused in the scheme to avoid having to share proceeds with others in the polygamous group.

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Prosecutors contend the men joined Dermen in exchange for protection by what he called his "umbrella" of law enforcement and government sources.

 

Dermen has pleaded not guilty. The polygamists pleaded guilty and are expected to testify against Dermen.