NYC- A woman who was accused of providing prostitutes for big spenders was sentenced to six months in jail and told to pay $1.5 million in restitution after she pleaded guilty to money laundering.
Jennifer Paulino, 45, was jailed immediately after her appearance before state Supreme Court Justice Budd Goodman, who imposed the sentence. She will be on probation for five years after she finishes her jail time.
Paulino was charged in December 2004 with prostitution and money laundering. Prosecutors said then she was disguising the origins of money earned by her American Beauties escort service.
Prosecutors said after her arrest that she raked in $2.5 million over five years by providing high-priced prostitutes – the majority from Brazil and Eastern Europe – to men willing to pay up to $2,500 for their company.
Paulino bought an apartment in a Donald Trump high-rise on Manhattan’s Upper East Side and a home in Miami, both of which she will sell to raise the restitution, said her lawyer, Renato C. Stabile. She already has paid about $600,000 and owes about $900,000, he said.
Paulino tried a novel defense gambit during her case: She moved to dismiss the indictment on the ground that she was the same as “Goliath” corporations that make and promote porn films and pay people to have sex. She said targeting her, while ignoring them, violated the U.S. Constitution’s equal protection clause.
The court said prostitution is usually confined to an exchange between two parties and therefore escort services and “Goliath” corporations are not similarly situated.
Further, the court held, prosecuting the corporations posed First Amendment issues that did not arise in prosecuting brothels.
