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Mon, Mar 09, 2009

Phony Airline Grounded In Prostitution Ring Bust

Allegedly Obtained FAA Funds To Start Service -- Um, Air Service -- From MDT

Federal prosecutors have filed charges against a Pennsylvania man, his wife and an alleged co-conspirator as a result of a prostitution sting involving the Internet... and a non-existent airline.

Roger Sedlak, 47, his wife Marianna, and partner Kelli "Kayla" Kaylor each face up to 35 years in prison, indicted last week in US District Court in Pennsylvania's Middle District on charges of "transporting and causing the transportation in interstate commerce of an individual with the intent that the individual engage in prostitution, persuading and enticing an individual to engage in interstate travel for the purpose of prostitution, and conspiracy to commit those offenses."

They’re also in hot water with the Federal Aviation Administration and two counties that gave Sedlak a total of $100,000 in grants to start an airline called "CQ Air," supposedly providing service at the Harrisburg International Airport (MDT). The Albany Times-Union reports Sedlak received $75,000 in federal funds from the FAA and $12,500 from two unnamed counties.

Investigators cracked the prostitution ring wide open last month in a sting operation. Posing as customers, undercover deputies from the Albany County Sheriff's Department responded to Sedlak’s advertisements for an escort service called Diamond Escorts on the Craig’s List website, arranging to meet at a Hampton Inn in Latham. Several other women were also arrested on misdemeanor charges of prostitution.

Federal prosecutors say Sedlak's airline was never intended to get off the ground, but was used in name only as a business front.

"Roger Sedlak held himself out as an executive of a non-existent airline known as CQ Air," a spokesperson from the US Attorney's office in Harrisburg, PA said. "Using various aliases, he would rent rooms at a variety of local hotels claiming that he was using them for airline business."

The attorney's office declined to say whether CQ Air charged for drinks, or pillows.

FMI: www.pamd.uscourts.gov

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