Sunday, 23 October 2016
Last updated 1 day ago
Jan 25 2011 | 11:02am ET
A former New Jersey hedge fund manager has pleaded guilty to defrauding investors of $1.6 million.
Robert Sucarato pleaded guilty to one count of wire fraud in Camden, N.J., federal court Monday. He faces up to 20 years in prison when he is sentenced in May.
Sucarato was arrested in April, accused of lying to investors about, well, just about everything. He allegedly told investors his New York Financial Co. managed $7.2 billion when, in fact, its accounts had just $110,000. He allegedly claimed to have a degree from New York University, when he didn't, and, for good measure, allegedly "embellished biographies" of the firm's other executives. He also allegedly boasted of offices in New York and Chicago which did not exist.
Prosecutors said of the $1.7 million NYFC raised, Sucarato stole almost $500,000, lost another $850,000 and used the rest to prop up his Ponzi scheme.