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Man Gets Prison In Divas Case

Peter Shifman Sentenced To 3 Years In Prison

POSTED: 4:52 am MST June 20, 2009
UPDATED: 5:04 am MST June 20, 2009

A Gilbert man who was an accountant for an Internet-based prostitution operation has been sentenced to three years in prison.

Peter Shifman also got seven years of probation and ordered to pay a $100,000 fine when he was sentenced Thursday in Maricopa County Superior Court.

The 57-year-old Shifman entered into a plea agreement in the case on April 15.

He pleaded guilty to money laundering, illegal control of an enterprise and the use of a wire or electronic communication in facilitating the crimes, for his involvement in the Desert Divas Escort Services probe investigated by the Phoenix police.

Authorities said more than 100 prostitutes were involved and the business generated $250,000 a month in revenue.

Last month, Phoenix police arrested David Elms, who has been called a power broker in the sex trade, in February, saying he was behind a murder-for-hire plot. Police reports obtained by CBS 5 News show that Paul Nichta, the ringleader of the multimillion dollar Desert Divas prostitution ring, tipped off police to the alleged plot. Nichta pleaded guilty last month to charges stemming from the Desert Divas investigation.

"This was a serious attempt to have somebody murdered and hurt,” said Phoenix police Sgt. Andy Hill.

Elms ran "The Erotic Review," a Web site that rates escorts and provides graphic detail about the quality of escorts' services.

Many say Elms had tremendous influence over how much money escorts could make, and believe he abused that power.

"He will manipulate the site because if a girl gives him money and free sex, he will post great reviews of her -- which will bring her money," said one escort, who only wanted to be identified as "Veronica." “He's manipulative, and girls are scared to death of him."

Investigators said Elms drove from California to Phoenix on Valentine's Day and met with undercover officers in north Phoenix.

Records show Elms paid the undercover officers $500 for a half ounce of cocaine, agreed to pay them an additional $3,000 to break the legs of a man who often criticized him and discussed wanting to kill a woman who was suing him.

"The suspect, David Elms, wanted to have somebody killed. He is very angry, and demonstrated that in what he asked for; and the deal was made with undercover officers," Hill said.

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