DETROIT (AP) – Federal prosecutors are recommending some type of confinement for two Detroit-area brothers who pleaded guilty to fraud after using cheaper materials in auto parts.
David and Orman Bernhardt own Davalor Mold in Macomb County’s Chesterfield Township. They’re returning to court for their sentence Friday.
The Bernhardts are accused of using less expensive materials than required in seat-belt assemblies and then covering it up through false reports. The sentencing guidelines call for more than a year in prison but the brothers are asking for probation.
The government says six months of home detention or in a community halfway house would be appropriate even if the judge decides to give them a break. Assistant U.S. Attorney Sheldon Light says there must be a penalty that deters others from committing corporate fraud.
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