The U.S. Attorney’s Office for the Middle District of Pennsylvania announced last month that former vice president for Rite Aid Inc. James W. Pilsner, 61, of Harrisburg, was sentenced to two years’ imprisonment followed by two years on supervised release on Oct. 23, 2019, by U.S. District Court Judge John E. Jones III, for perpetrating a vendor kick-back scheme that defrauded the company out of $5.7 million and for committing tax evasion.
According to U.S. Attorney David J. Freed, Pilsner pleaded guilty to one count of wire fraud and one count of tax evasion on Oct. 1, 2018. Pilsner, a former vice president for advertising for Rite Aid, perpetrated a kick-back scheme with the owner of Nuvision, a small Atlanta, Georgia, based company between 1995 and August of 2017. Nuvision provided $45 million of pre-press advertising services to Rite Aid under contracts granted by Pilsner during that time period. During the same period, Pilsner received $5,124,862 in kick-backs from Nuvision and distributed another $634,300 from Nuvision to some of his Rite Aid employees.