Thursday, 8 October 2015
Last updated 2 hours ago
Nov 10 2010 | 4:06am ET
A Connecticut hedge fund fraudster faces up to 60 years in prison after pleading guilty to defrauding investors of $2 million.
Carlos Garcia lied about almost everything at his Paramount Equity Partners. He sent his 10 or more victims phony account statements and other documents and made Ponzi scheme-payments to some investors. He spent much of the rest of the money he raised to pay personal expenses.
Among the false documents he sent to investors between 2002 and 2009 were dummied Internal Revenue Service forms, leading victims to pay taxes on returns that never existed, prosecutors say. The move was especially ironic, because prosecutors say Garcia himself didn't both to pay taxes from 2005 through 2008.
Garcia pleaded guilty to mail fraud, wire fraud and tax evasion. He is set to be sentenced on Jan. 25, and will be liable for up to $4 million in fines as well as restitution and tax resolution orders.
Oct 7 2015 | 4:57am ET
Charity A Leg To Stand On (ALTSO) will hold its 12th Annual Hedge Fund Rocktoberfest – NYC on October 15 and its 4th Annual Rocktoberfest - Chicago on October 22. Read more…