John Ross pleads guilty in Davis scam

A Layton man, who with his wife is accused of bilking the Davis School District of $4.3 million in a publishing scam, has pleaded guilty in federal court.

John D. Ross, 67, before U.S. District Judge Clark Waddoups in Salt Lake City, pleaded guilty Wednesday to “aiding and abetting” his wife, Susan G. Ross, in forging fraudulent copyright notices.

His sentencing date is pending and Susan Ross has a status conference today before Waddoups. Attorneys have been talking about a pending plea bargain for her since April while expecting him to go to trial.

In November 2006 the Rosses were each indicted on 47 counts of mail fraud, money laundering, theft from a state agency and copyright infringement. Federal prosecutors claim a company controlled by the Rosses sold illegal photocopies of copyrighted books to another company, which in turn sold them to the district.

From 2000 to 2005, John Ross served the school district as a grant specialist. Susan Ross worked for the district beginning in 1973, ending as director of federal programs, a position that allowed her to approve purchases made with federal Title I funds, including the illegally copied books, prosecutors claim. She handled, and is accused of taking, money meant for a program for low-income school children. Both retired before being indicted.

The books held titles such as “A Soft Pillow for an Armadillo,” “Birds Fly Bears Don’t” and “Inside My Hat,” according to court documents.

John Ross has agreed to forfeit more than $786,000 from half a dozen different bank accounts, under the terms of the plea bargain, as well as homes in Layton, South Weber and Mountain Green; a 2001 Jeep Grand Cherokee and a 2006 Acura MDX.

The Rosses, of Layton, are accused of “a pattern of self-dealing” for selling and also approving the sale of unauthorized photocopies of copyrighted books to the district at inflated prices, placing copyrights on the photocopies themselves.

The November 2006 indictment claims a company the couple owned, called NEWS, photocopied the books and sold them to an intermediary company, Research Development Co., which in turn sold the books to the district.

The government claims the scam ran for more than five years. In addition to placing fraudulent copyrights on books, Ross made payments to printers and picked up and delivered the books, according to his signed plea agreement.