The 18th largest landscape company in the nation is in hot water, after allegedly being part of an extensive money laundering fraud. David Mazanowski, CEO of Mainscape, Inc. has been charged with conspiracy to commit mail, wire and healthcare fraud, due to his involvement with the former American Senior Community (ASC) CEO’s kickback scheme.
Earlier this month, James Burkhart, the CEO of ASC, and three accomplices received a 32-count indictment for a $16 million fraud and kickback scheme. Several vendors, including Mainscape, were also charged for conspiring with Burkhart from 2009-2015.
According to the indictment, Mazanowski falsified and inflated invoices at Burkhart’s direction. This included Mainscape charging ASC for ‘consultations’ that never happened, and inflating invoices by 45 percent. The bill would be sent to the owners of ASC, who repaid the amount ‘spent’ with government funds. Burkhart would then split the amount of excess money with the vendors, with Mainscape being paid a total of $1.5 million for fake services.
Mazanowski founded Mainscape in 1980 as a Ball State University student, as a way to employ Christian college students over the summer, rather than having them go back home. It has since expanded and currently earns $71 million in annual revenue. Now, though, the future is uncertain. While he has not been convicted yet, his alleged crime carries a prison sentence of up to 20 years.