Orchard Park businessman admits selling illegal software
An Orchard Park businessman agreed Thursday to forfeit more than $2.5 million to his victims after pleading guilty to federal charges of copyright infringement and filing false tax returns.
Christopher Boyd, 63, of Hillsboro Drive, admitted committing a felony copyright violation and pleaded guilty to a felony tax fraud charge. Under federal sentencing guidelines, he faces a probable prison term of more than three years.
Authorities identified him as the owner of B&L Medical, a company on Genesee Street in Cheektowaga.
His company illegally copied and sold computer software used by hospitals and medical groups all over the United States, Assistant U. S. Attorney Martin J. Littlefield said.
“The software is used to save X-ray images in a digital format and make them available for doctors all over the world to review them over the Internet,” Littlefield said.
Boyd’s wife, Robin, 58, who is also an official of the company, pleaded guilty to a misdemeanor copyright violation. Both defendants appeared before U. S. Magistrate Judge Hugh B. Scott.
Littlefield said Christopher Boyd “engaged in fraudulent conduct by selling unauthorized copyrighted copies of teleradiological software” owned by two companies, GE Health- Care and MedWeb.
“The investigation also revealed that in the process of obtaining illegal proceeds from such sales, the Boyds also engaged in money laundering and federal tax fraud. As a result of the fraud, numerous medical groups throughout the U. S. unwittingly purchased illegal . . . software,” Littlefield said.
Authorities said some of Boyd’s customers were medical facilities in Western New York, but they declined to name them.
Money collected through restitution and forfeitures in the case will go to the two companies that were victimized and the federal government, the prosecutor added.
Boyd admitted underreporting his company’s income in the years 2002 through 2005.
The charges followed a lengthy investigation conducted by the FBI and criminal investigators from the Internal Revenue Service and the Food & Drug Administration.
More than a year ago, federal agents seized numerous items from the Boyds, including money in bank accounts and five vehicles.
Under his plea, Boyd agreed not to contest those seizures and also agreed to give up his Orchard Park home — which the government said is worth $425,000 — another home in West Seneca, and condominiums in Florida and Colorado.
Boyd was represented in court by attorney Joel L. Daniels, and his wife was represented by attorney John Giardino.
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