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Wednesday, June 9, 2010

Bogus Court Documents Attorney Gets 50 Years

Florida Ponzi mastermind gets 50-year sentence
Reuters by Tom Brown - June 9, 2010

FORT LAUDERDALE, Florida (Reuters) - South Florida Ponzi scheme mastermind Scott Rothstein was sentenced to 50 years in prison on Wednesday for an investment fraud that bilked clients out of more than $1 billion. The sentence was more than the 40 years federal prosecutors had recommended for Rothstein, a disbarred lawyer who pleaded guilty to racketeering and fraud conspiracy charges in January. He had faced up to 100 years in prison but his lawyer had asked U.S. District Judge James Cohn to give him no more than 30 years. Rothstein, who turns 48 on Thursday, fled to Morocco as his fraud scheme collapsed in late October, apparently lured by the fact that the country has no extradition treaty with the United States. He voluntarily came back to Florida in early November and has been jailed since he surrendered to the FBI in December. Upon his return, Rothstein cooperated with investigators unraveling his investment scheme, which prosecutors cited in asking that he be given a sentence of no more than 40 years. But Cohn tore into Rothstein for his "greed and arrogance" before handing down the tougher sentence, stressing that Rothstein had committed his fraud while serving as a licensed attorney. Part of that fraud involved forging bogus court documents, making it especially egregious to a federal judge, Cohn said. "There can be no conduct more reviled," he said.

"OPULENT LIFESTYLE ... STOLEN MONEY"

Cohn said more than $400 million had been lost to investors through Rothstein's scheme and set an August 20 court date for a restitution hearing. Cohn waived any substantial financial penalty as part of Rothstein's sentencing, saying he had already agreed to forfeit all his assets to help repay some of the more than 400 investors in his scheme. Rothstein has been compared to other Ponzi scheme kingpins including Bernard Madoff, who pleaded guilty to a $65 billion investment fraud and is now serving a 150-year prison sentence. Both men, who had all the trappings of success, prayed on wealthy South Florida investors, among others, who were lured by the promise of a steady income stream and better-than-average return on their investment. Court documents have said Rothstein acted with co-conspirators to carry out the $1.2 billion scheme, creating false bank documents that conned investors. Rothstein, who appeared in court in manacles and wearing a white dress shirt and dark blue pants, apologized for his crime while saying he did not expect forgiveness. "I'm ashamed and I'm embarrassed," he said. A frequent campaign contributor often photographed with local politicians, Rothstein used what Cohn described as "an opulent lifestyle funded by stolen money" to build up the connections aimed at luring rich friends and patrons to investment with him. "It was all about influence, wealth power and influence," Cohn said. Prosecutors have said Rothstein's fraud centered on the sale of shares in fabricated legal settlements to unsuspecting investors since at least 2005 and used new investor money to pay previous investors in the classic Ponzi scheme model. Debra Villegas, the former chief operating officer of Rothstein's Fort Lauderdale law firm, has been charged in the scheme and charges against others may be coming. (Editing by Jane Sutton; Editing by Bill Trott)

14 comments:

laughing said...

Mr. Attorney doesn't sound like that much of a 'mastermind' NOW, does he??

Anonymous said...

I wonder how much jail time they will give to the rat of Gary I. Greenwald, Esq. for his schemes and racketerring? Why aren't the FEDS on the tail of this criminal. He is a big fish in a small letrine but he needs to be put away for a long time.

Anonymous said...

Oh I see the name of this fat bastard is been mentioned again. I am totally confused as to why the FEDS have not yet arrested Gary Greenwald for his criminal activities. In Guatemala the Goverment is concern as to what to do with the big sink hole that formed in the city. Yet, I have a great idea lets take all of these criminals including this fat bastard and dump them in there. New York State has plenty of $hit in power to fill many sink holes around the world.

Anonymous said...

Is this the same Gary Greenwald that was in Yonkers 20 plus years ago? If it is he is some piece of work!
The thief in Florida is one attorney of the many that are crooks. When is someone going to get the rest and don't overlook the Judges too?

Anonymous said...

It's probably the same trash, that represents child sexual predators and scum bags like him.

Anonymous said...

There are a corrupt lawyers in Florida but I think there are more here in NY, more money here. So why have the feds abandon NY? Is it political or are they getting a piece of the action also?

Anonymous said...

plain and simple..

The Feds are afraid of New York..

Themis unblinded said...

Don't blame them; it's their biological nature. NY and other lawyers are often part of the class “Arachnidae” from the Greek Arakhne named for the maiden, which my niece, Athena, turned into a spider. This class includes spiders, scorpions, ticks and mites. What is amazing is that NY lawyers are able to change form from mites as they grow older feeding on their NY fodder.
Most begin as mites sucking sustenance from their parents and family members as they grow up and go to law school. After graduation they transform into ticks feeding upon homo sapiens in NY. Some move on to become scorpions or spiders and this is where the net they weave explains their nature
The NY Law system is a spiders' web with multiple spiders at various nodes in the system. The main spiders at various web nodes/centers are Schumer in the Senate, Cuomo as AG, Lippman replacing the aging Kaye and Sheldon Silver in Assembly. Two spiders, Bruno and Spitzer tried to eat each other, but in the end both destroyed the other.
Schumer at the center of his web node controls appointments to federal court and his spawn is US attorney for Southern District. Cuomo at his web node controls which tick is eaten and which survives. Lippman gets to eat his cut along with Sheldon Silver, both who were in childhood mite/buddies. Ordinarily they don't eat their own; hence, we have the CJC and attorney grievance committees filled with tick/lawyers/judges trying to be scorpions.
Understand their predatory parasitic nature; tear down their web; don't vote for them.

Anonymous said...

Dear Andrew Cuomo,
Are you noticing how these ticks and fleas are setting each other up and violating everyone's rights, do you see how this is traveling to our Police System, so that no justice is allowed, our Police can not even be trusted, they are being set up also......
Start fining/arresting these lawyers, just send the FEDS in to the Courts and Grievance Systems or shut them down......
Do you think they will all stop setting each other up?

Anonymous said...

Dear Andrew Cuomo,
Are you noticing how these ticks and fleas are setting each other up and violating everyone's rights, do you see how this is traveling to our Police System, so that no justice is allowed, our Police can not even be trusted, they are being set up also......
Start fining/arresting these lawyers, just send the FEDS in to the Courts and Grievance Systems or shut them down......
Do you think they will all stop setting each other up?

Anonymous said...

Dear Andrew Cuomo,
Are you noticing how these ticks and fleas are setting each other up and violating everyone's rights, do you see how this is traveling to our Police System, so that no justice is allowed, our Police can not even be trusted, they are being set up also......
Start fining/arresting these lawyers, just send the FEDS in to the Courts and Grievance Systems or shut them down......
Do you think they will all stop setting each other up?

Anonymous said...

this Gary Greenwald's name has been mentioned so many times just arrest the bastard, no one cares why, just set him up like the police know how to do so well!

Anonymous said...

ps If you don't know how to just call those Niagara County Sheriff's and DA they can give you lots of hints.........
shame if a Federal Judge signed an order to figure out how the Niagara County Scum use these departments to harm whomever they want and how they try to cover it up.........

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See Video of Senator John L. Sampson's 1st Hearing on Court 'Ethics' Corruption

The first hearing, held in Albany on June 8, 2009 hearing is on two videos:


               Video of 1st Hearing on Court 'Ethics' Corruption
               The June 8, 2009 hearing is on two videos:
         
               CLICK HERE TO SEE Part 1
               CLICK HERE TO SEE Part 2