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Helicopter Service Owner Charged With Deception

Business Based at Blue Knob Airport

A Winter Park, Fla., man was in Martinsburg District Court on Thursday, March 18, where he waived multiple felony counts of deceptive business practices to Blair County Court.

James C. Housel, 48, was extradited from Florida to face charges after an investigation by police allegedly turned up deceptive business practices by Housel, doing business as Cove Helicopter at Blue Knob Airport. Police allege he bilked customers out of nearly $200,000.

According to the complaint filed by Freedom Township police, Housel allegedly took money from at least five customers for parts and repairs to their helicopters but never performed the services.

Police said that on July 10, 2018, Housel gave a customer an estimate of $54,543 for helicopter rotor blades and other parts, including labor. On July 23, the customer allegedly paid Housel $50,000 through a wire transfer, leaving a balance of $5,189.70. On Dec. 13, 2018, Housel allegedly stamped the invoice "paid" but had not yet repaired the helicopter. Police allege that Housel then sold the blades the customer paid for and the customer purchased another set for $46,000 and provided them to Housel to repair his helicopter. Housel then allegedly invoiced the customer $21,754.90, which the customer paid by check as well as a check for $10,344.07 for other parts.

In all, police allege, the customer paid for two sets of blades, one to Housel and one to another company to give to Housel but only received one set. Police allege that the customer paid a total of $86,244 to Housel and provided Housel with the second set of blades valued at $46,000 for a total of $132,244.07. Police allege that Housel provided parts and labor for $78,944.60 but the customer paid for, or provided parts, in the amount of $132,244.07, owing the customer $53,299.47.

On Feb. 23, 2019, police allege that Housel gave another customer and estimate of $3,250 for parts and labor for installation of a transponder. Police said that at Housel's request, the customer paid him $2,700 with the agreement that the transponder would be installed by April 2020. Police said Housel has not yet performed the work and that Housel has not responded to numerous attempts by the customer to reach him or refund the money.

On March 8, 2019, Housel allegedly invoiced $13,975 for transponder equipment which the company paid. On Aug. 20, 2019, Housel allegedly billed the company $78,260 for more transponder equipment and was paid in two checks. Police said Housel performed work on eight aviation units but never completed the remaining 25, depriving the leasing company of $69,875.

Police said emails between Housel and the leasing company show Housel admitting he had failed to perform the services and that Housel has failed to respond to any correspondence from the leasing company since December 2019.

In September 2019, police allege another customer paid $67,500 for new rotor blades and repairs to his helicopter. Police contend that Housel didn't order the parts or do the repairs. That same month, a customer paid Housel $3,350 through PayPal for a transponder but Housel didn't provide the item to the customer. Police said numerous attempts by the customer to resolve the issue were met with Housel giving "excuses" or failing to respond.

On Feb. 23, 2019, police said Housel was paid $2,700 by another customer for installation of a transponder. The transponder was to be installed by April 2020, but the work was never done.

Police located Housel in Winter Park, Fla., where he was arrested in February and held in the Orange County, Fla., jail before being extradited to Blair County and arraigned by Magisterial District Judge Andrew Blattenberger on five felony counts of deceptive business practices. He was initially jailed in the Blair County Prison on $30,000 bail on each count.

Housel appeared before Blattenberger on March 18 for a bail modification hearing and was released on $50,000 unsecured bail. Housel also waived his right to a preliminary hearing, sending all charges to the Blair County Court of Common Pleas.

A formal arraignment in Blair County Court is scheduled for April 23.

 

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