FORMER EMPLOYEE OF RICH PRODUCTS PLEADS GUILTY

BUFFALO, N.Y.—JEFFREY CAVES, 49, of Monument, Colorado, pleaded guilty today to one count of mail fraud, announced U.S. Attorney Terrance P. Flynn of the Western District of New York.

Assistant U.S. Attorney Paul J. Campana said Caves was charged last May in an Indictment alleging that Caves devised a scheme to defraud Rich Products Corporation during a period from 1999 through 2002. Caves admitted to U.S. District Judge William M. Skretny today, while serving as a region sales manager for Rich's, he stole money from the company by misappropriating the proceeds of more than $116,000 in checks funded by Rich's, and using the company-funded checks for personal expenses such as motor vehicles, lawn equipment, and a time-share in a residence in Colorado.

As a region sales manager, Caves's duties included selling Rich Products Corporation’s products to end customers either directly or through brokers. The geographical area assigned to Caves by Rich Products Corporation included the states of Minnesota, Iowa, Missouri, Nebraska, North Dakota, and South Dakota. Sentencing is scheduled for August 18, 2008 in front of United States District Judge William M. Skretny.