Newton Man Arrested in Connection With Money Laundering Scheme: Attorney General

NEWTON, MA — A Newton man was among those charged in connection with operating an illegal gaming and money laundering scheme through a North Andover company, Attorney General Maura Healey announced.

Authorities allege that the Morleys, through Four Star Vending, and their employees were distributing illegal gaming devices – which can be described as video slot and poker machines played for cash payouts – to bars, social clubs and other such establishments throughout Massachusetts and into New York. Authorities allege that employees of Four Star regularly traveled to these establishments to collect the proceeds from the slot machines and shared the profits from the gaming machines with the owners of the establishments that housed the machines.

“We allege the owners and employees of this gaming company used their business as a front to illegally launder over a million dollars for their own profit,” Attorney General Healey said. “The charges today are the culmination of a months-long joint investigation with our partners in law enforcement, and we will continue to work with them to investigate and prosecute those who commit these crimes and operate schemes using unregulated and illegal gambling machines.”

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The company, Four Star Vending, Inc., and its owners, William Morley, age 62, and his wife Bonnie Morley, age 53, both of Middleton, were arraigned in Essex Superior Court May 2 on charges that included Keeping a Place for Registering Bets, Organizing and Promoting Gambling, Unlawful Operation of a Gaming Device, Money Laundering and Conspiracy on March 27.

At the arraignment, the Morleys pleaded not guilty to the charges and were released on personal recognizance. They are due back in Essex Superior Court for a pretrial conference on June 5.

Four Star Vending employee Richard Calhoun, 50, of Peabody, was indicted by a Statewide Grand Jury on March 27 on the charges of Keeping a Place for Registering Bets, Unlawful Operation of a Gaming Device, and Conspiracy. He will be arraigned in Essex Superior Court at a later date.

Anthony Mazzola, 56, of Newton, a manager at one of the social clubs operating Four Star gaming machines, was also indicted by a Statewide Grand Jury on March 27. He was charged with Keeping a Place for Registering Bets (one count), Unlawful Operation of a Gaming Device (one count), and Conspiracy (two counts). He will be arraigned in Essex Superior Court on May 9.

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“These illegal gaming devices, placed in social clubs and other locations, allowed the defendants to pick the pockets of countless unsuspecting patrons,” Essex District Attorney Jonathan Blodgett said. “Along with our law enforcement partners, we will hold these defendants and any others who engage in illegal gaming accountable.”

Illegal gambling siphons revenue from regulated games like those offered by the state Lottery, Treasurer Deborah Goldberg said. “Our Lottery operates under strict rules of transparency and delivers its profits to every city and town across the Commonwealth in the form of unrestricted local aid.”

In addition to distributing illegal slot machines, Four Star was also supplying and servicing ATMs, jukeboxes, vending machines, and other amusement devices to its customers. The company allegedly used this part of its business as a means for laundering the illegal gaming proceeds.

The investigation by the Massachusetts State Police troopers assigned to Healey’s Office and the Massachusetts State Lottery, as well as the Essex County District Attorney’s Office, found "considerable evidence" of the company’s illegal gaming and money laundering operation, including 200 gaming machines, approximately $1.4 million in illegal proceeds and 11 vehicles used to facilitate the criminal activity.

These charges are allegations and defendants are presumed innocent until proven guilty. Info in this is from the Attorney General's Office. Archive photo of Maura Healey courtesy mass.gov