Pennsylvania Advisor Pleads Guilty To Fraud
Oct. 02--PITTSBURGH -- A Mercer County man pleaded guilty Sept. 21 to two counts related to fraudulently soliciting money for investing and then using the money to pay off business loans and gambling and personal expenses, according to the U.S. Attorney's Office in Pittsburgh.
Jeffrey T. Lewis, 48, of East Lake Road, Transfer, pleaded guilty to charges of wire fraud and engaging in monetary transactions in property derived from unlawful activity.
Lewis was a licensed investment adviser from 2004 to 2009, according to the bill of information filed in June.
From October through March, Lewis made false representations and promises to a previous investment client in an effort to defraud that client, the indictment said.
Lewis told the client his current investment adviser was charging him unnecessary fees, and Lewis said he would invest in safe investment vehicles with a higher rate of return, the indictment said. On Dec. 2, Lewis helped the client open new investment accounts, transfer money from the old account into the new ones, and was entrusted with managing the accounts, the indictment said.
Twelve days later, Lewis, transferred $230,000 from the client's account to his own, without permission, and continued to transfer money until March 2, the indictment said. Prior to the transfer, Lewis had $300 in the account, the indictment said.
Lewis bought a 2008 Hummer H2 for more than $37,000 on Dec. 14, the date of the first transfer, using money from his personal account, the indictment said.
Lewis faces a prison term of up to 20 years for wire fraud and 10 years for the monetary transactions charge. He also could be fined up to $500,000.
U.S. District Court Judge David S. Cercone set sentencing for Jan. 5.
Lewis has been released on bond.
___
(c)2017 The Herald (Sharon,Pa)
Visit The Herald (Sharon,Pa) at www.sharonherald.com
Distributed by Tribune Content Agency, LLC.
A.M. Best Comments on Credit Ratings of Genworth Financial, Inc. and Its Subsidiaries Following Announced Delay in Regulatory Approval Process
Minnesota Health Premiums Should Be Stable Or Reduced For 2018
Advisor News
Annuity News
Health/Employee Benefits News
Life Insurance News