Former N.J. State Trooper Admits Extorting Stock and Money Through the Use of Force and Violence

CAMDEN - A former New Jersey State Trooper pleaded guilty today to his role in a conspiracy to extort money and stock through the use of threats, violence and fear, U.S. Attorney Christopher J. Christie announced.

Peter K. Bethune, 43, of Maple Shade, pleaded guilty before U.S. District Judge Jerome B. Simandle to conspiracy to affect commerce by extortion. Bethune remains free on a $250,000 personal recognizance bond, pending sentencing scheduled for July 21.

On Sept. 26, 2005, Bethune and two others were arrested by Special Agents of the FBI and IRS Criminal Investigation Division and the N.J. State Police. A fourth defendant remains a fugitive.

According to the Indictment, Bethune, Francis N. Alexander III, 44, of Thorndale, Pa., an auto salesman; Brian H. Lavoe, 30, of Cherry Hill, a massage therapist and bar bouncer; and Christian L. Harper, 57, of Colorado and Vancouver, B.C., a securities promoter, conspired with each other and others to obstruct and affect commerce and the movement of articles and commodities in commerce by extortion. Alexander and Lavoe have pleaded guilty and are awaiting sentencing. Harper is still being sought by law enforcement.

At his plea hearing, Bethune admitted that between December 1999 and June 2004, he Alexander, Lavoe and Harper agreed with others to collect money and/or stock by extortionate means from stock promoters and corporate insiders who allegedly defrauded Harper.

Bethune admitted he participated in a scheme to extort money and stock from several stock promoters and corporate insiders. Bethune (6'11" tall and weighing 300 pounds), Lavoe (6'7" and 250 pounds) and Alexander traveled to locations in Florida, Nevada, California and New England to threaten victims with death or serious injury if they did not transfer stock or money as they directed to Harper and another member of the conspiracy.

The victims, under threat of violence, then transferred large sums of money and stock to offshore accounts. The stock and money were then distributed among the defendants.

A Sept. 26, 2005, news release concerning the defendants' indictment is available on the office website by following the appropriate links at: http://www.usdoj.gov/usao/nj

The conspiracy charge carries a maximum penalty of 20 years in prison and a fine of $250,000 or twice the aggregate loss to the victims or gain to the defendants.

Parole has been abolished in the federal system. Defendants who are given custodial terms must serve nearly all that time.

Christie credited Special Agents of the FBI's Atlantic City Resident Agency, under the direction of Special Agent in Charge Leslie Wiser, Jr. in Newark, The IRS Criminal Investigation Division, under the direction of Special Agent in Charge Patricia J. Haynes, and the New Jersey State Police, under the direction of Col. Joseph Rick Fuentes, for investigation of the case.

The Government is represented by Deputy U.S. Attorney for the Southern Vicinages, William E. Fitzpatrick.

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Defense Attorney: Kevin M. Hart, Esq. Lawrenceville