Arraignment for Top Dollar Pawn defendants delayed as attorneys argue over discovery

Nov. 29—An El Paso County judge on Tuesday granted a continuance in a money-laundering case involving Top Dollar Pawn, as the defense claims the prosecution has committed several discovery violations.

Because of the discovery issues, the defense attorneys representing Top Dollar Pawn and its four co-defendants — Daria Mauro, Walt Mauro, Mischa Jargowsky and Jack Jargowsky — told Judge David Gilbert that they were not ready to enter a plea during Tuesday's arraignment.

The defense argued that the prosecution had submitted two large electronic files as discovery, but that the defense had no way to access those files.

The prosecution told Gilbert that the discovery was a copy of evidence the defense already had, and it was formatted in such a way that prosecutors also were unable to open it, but they were working on it.

As a result of this, as well as the content of several electronic devices that hadn't been "dumped" yet also not being entered into discovery, the defense filed a motion claiming the prosecution had committed several discovery violations, and that their clients weren't comfortable moving forward until they knew what information was in that discovery.

Gilbert set a hearing for Feb. 3 to allow for the prosecution to file a response to the motion and to attempt to fix the issues with the filed evidence.

The arraignment will be held on the same date immediately after the hearing, Gilbert said.

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The defendants are accused of laundering money over four years at Top Dollar Pawn locations, a scheme that investigators say resulted in the transfer of more than $1.3 million in stolen goods.

Court records obtained by The Gazette allege that Top Dollar Pawn employees knowingly accepted stolen goods still in packaging from boosters and would sell those items in their stores or on their online eBay store for a profit.

Boosters steal merchandise, usually from retail outlets. They often work in concert with others as part of a "booster crew."

Colorado law requires that pawnbrokers must be given a receipt of purchase on all items still considered "new" and in-packaging to confirm that these items were not stolen. Pawnbrokers are also required to keep an electronic record of these items, as well as document the identification number of the pawned item and the identification of the seller. Records obtained by The Gazette allege that Top Dollar Pawn ignored both of these requirements.

All four co-defendants face 29 charges, including pattern of racketeering and 27 separate charges of money laundering.

They were arrested on charges relating to the money-laundering scheme, and subsequently posted the $50,000 bond to be released.

All Top Dollar Pawn locations, two in Colorado Springs and two in Pueblo, remain closed.