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Former Utica Restaurant Owner Sentenced In Mail And Health Insurance Fraud Case

Gino Geruntino, WIBX

More than two years in prison and more than a million dollars in fines.

Cynthia Morgan is already serving her time after pleading guilty to a mail and health insurance fraud scheme.

Her husband David Morgan, Joseph Demme, Michael Matrulli, and Joseph Dellerba have also previously admitted taking part in the staging of a crash in Utica involving a rental truck and a van.  Yes, it is the same David Morgan who made national headlines years ago for making an angry call after getting stuck in the elevator of his restaurant.

Dellerba has already been sentenced.  David Morgan, Demme, and Matrulli will be sentenced in March.

Morgan formerly owned Kitty’s on the Canal, a restaurant built by former Mayor Edward Hanna.  It is now under new ownership and is now Esche’s Aqua Vino, located at 16 Harbor Lock Road East in Utica.

Cynthia Morgan was sentenced to serve twenty-seven months in jail and pay $1.4 million in restitution.  She plead guilty on August 23, 2012 for the incident which was planned in 2005 and executed 2006.

During the staged accident on Harbor Lock Road Cynthia Morgan reported that she was injured and subsequently received more than $100,000 from Progressive Insurance Company.

 

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