Robert Craddock: Sentencing Memorandum Filed in Criminal Case

Category Craddock

When I started reading this filing, I actually started laughing. This is probably the most ridiculous thing I robert-craddockhave read in quite a while. Robert L. Craddock (right), self-proclaimed guru of whatever he is doing at that particular moment, has spoken through his court appointed Federal Defender. Together, they are putting forth “the following to show why probation, restitution, community service and a fine are the appropriate punishments.”

MR. CRADDOCK pled guilty to two counts of wire fraud pursuant to a plea agreement. (Doc 27) The $117,700 loss to Gulf Coast Claims Facility occurred when MR. CRADDOCK submitted a single false claim alleging lost revenue due to the Deepwater Horizon oil spill. (Doc 47, ¶¶ 10-11) The total offense level of 13 and a category 1 criminal history under the United States Sentencing Guidelines (“Guidelines”) correspond with an advisory sentence between 12 and 18 months. (Doc 47, ¶66) MR. CRADDOCK is self-employed and can pay a fine if allowed to maintain that employment.

And here is the part that caused me to laugh rather loudly:

Five years of probation is a prolonged punishment that reinforces daily the seriousness of the offense and deters any unlawful behavior by MR. CRADDOCK for, should he violate any term of probation, imprisonment follows. Additionally, requiring that MR. CRADDOCK perform community service and pay a fine and restitution benefits society, promotes respect for the law and compensates the business victim. MR. CRADDOCK has demonstrated while on supervised release that he will scrupulously adhere to all conditions of release and the Court can confidently conclude that probation poses no threat to the community.

Yeah, I thought that was hilarious. Craddock is now and has always been concerned with benefiting society!! (As long as he makes money) But, it gets even better:

Rather, the absence of mental, emotional and substance abuse issues and the exemplary compliance on pretrial release support the determination that the most effective correctional treatment for MR. CRADDOCK is to allow him during these stagnant fiscal times to nurture his business so that society benefits from new technology that he is developing and the possible employment of many others to manufacture and market that technology.

The “new technology” in question is “QxStart”, yet another MLM telecommunications scheme, as if there has not been enough of those. Attached is an exhibit from Stephen Carnes, the President of Kryptos Communications, Inc., in which he

“states in his letter that his company depends on building and growing the distribution network that is “dependent upon Mr. Craddock’s continued involvement with QxStart.” (A-2). The marketing and sale of this product impacts the employment of others.”

I also have my doubts that it is anything more than another pyramid scheme, much like other “programs” that has seen Craddock as a member and promoter. Next, we hear about Craddock’s concerns over his marriage and how we wants the world to have cheap communications:

His promise to always be there for his wife of 25 years is in jeopardy due to his behavior and the responsibility he feels toward his wife provides insight that he has learned a valuable lesson. The evolution of his company that, at times, benefited local communities through donations and contributions of services and ideas has now expanded so that people around the world may one day be able to afford low cost mobile communication. The company is now beginning to expand is in the field of communication technology, where even a slight delay in the development and marketing of new technology will substantially diminish the likelihood of success.

Yep, nothing like being a convicted felon and trying to market “new technology”. I am sure people want to invest money with someone who committed fraud. And in his usual effort to “spin” things, Craddock has an Exhibit attached which reinforces just how wonderful he really is:

Likewise, Charles Lynch, a long-time friend of MR. CRADDOCK, expresses dismay but recalls his experiences with MR. CRADDOCK beginning during employment in 1997 and concludes, “I don’t fully understand how Robert has gotten in this situation but what I can say is there was never a time I felt if I needed help I could not call Robert and he would drop anything to come help.” (A-3). These letters show that a support system is in place that promotes the successful completion of probation by MR. CRADDOCK.

I think the only genuine thing here is Craddock is sorry that he got caught.

A felony conviction for fraud carries with it a special stigma and the loss of reputation, embarrassment, humiliation and shame that is reflected in the letters to this Court.

Um, I think when Craddock tried to trademark the word “Scam” might have been the starting point for the loss of reputation and humiliation.


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