Paskenta Band of Nomlaki Indians Investigation Alleges $10 Million in Personal Private Jet Trips by Pata Family and Hundreds of Thousands of Dollars in Purchases of Gold by Former Chairman of Paskenta Enterprises

Law enforcement opens investigation following attempt to destroy evidence with a computer attack at Rolling Hills Casino

May 22, 2014, 15:18 ET from Paskenta Band of Nomlaki Indians

CORNING, Calif., May 22, 2014 /PRNewswire/ -- Following recent allegations that former Paskenta Enterprises Chairman John Crosby and members of the Pata family purchased a mansion and wrote hundreds of thousands of dollars in personal checks to each other, Chairman Andy Freeman of the Paskenta Band of Nomlaki Indians shared more findings from an investigation that allege $10 million in unauthorized trips using the Tribe's jet and hundreds of thousands of dollars in purchases from a local gold and silver dealer.

The jet remains missing and has been reported stolen with a $50,000 reward for its return. Once returned, the Tribal Council will immediately sell the jet with the proceeds going to support services for Tribal members.

This week law enforcement officials also opened an investigation into an attempted cyber attack on the computer system at Rolling Hills Casino. The cyber attack attempted to destroy computer and financial records including the records that are the primary focus of the investigation. The attempted attack was a failure and only solidified support for the Tribal Council as it works to protect the best interests of casino employees and guests and Tribal members.

"The attempted computer attack on the casino was intended to destroy computer files and cover up the crimes that have been committed," said Chairman Freeman. "The Tribal Council with the full support of the Tribe is firmly in control at the casino and we are relieved that law enforcement officials are now working on the case. The hard evidence of these crimes has not been disputed and we look forward to working with law enforcement officials to hold these individuals accountable to the full extent of the law."

The investigators allegedly found dozens of trips on the Tribe's private jet from Chico to Sacramento, each one costing thousands of dollars and taking a few minutes to travel less than 90 miles. Additionally, the investigators compared the flight path of the jet to the schedule of the St. Louis Cardinals major league baseball team. The investigation shows that members of the Pata family, which include former Treasurer Leslie Lohse, allegedly used the Tribal jet to fly around the country to watch her son, Major League Baseball pitcher Kyle Lohse, play baseball.

"The findings in this investigation are extremely disturbing," said Chairman Freeman. "It appears that Lohse was using the jet like it was her personal transportation, while Tribal members picked up the bill."

The investigation also revealed  over $209,000 in alleged purchases of gold and silver by John Crosby. The checks were allegedly written from a Paskenta Enterprises account set up by John Crosby with only himself and Larry Lohse as the signatories. Paskenta Enterprises Corporation is the Tribe's business development corporation that was established to benefit all Tribal members. The Paskenta Tribe has never authorized any investments in precious metals and the gold remains unaccounted for.

The latest findings follow recent allegations that Larry Lohse and John Crosby wrote checks from the Tribe's business account to each other for more than $500,000 on top of $838,000 for the purchase of a mansion that included $600,000 in home improvement expenses including landscaping, a tennis court, pool construction and an outdoor kitchen.

With the latest allegations of misconduct by the former Tribal leaders from the Pata family, Chairman Freeman and the Tribal Council stress that these allegations will not disrupt business at Rolling Hills Casino or any of the other Tribal business. Freeman stated, "The Tribal Council is made up of strong leaders with decades of experience. The Tribal Council's focus is on protecting the best interests of all Tribal members and we will not let anything or anyone distract us from that."

SOURCE Paskenta Band of Nomlaki Indians