Securities Fraud Perpetrator from RI Sentenced
An 81-year-old Providence, Rhode Island man who previously pleaded guilty to a $5 million securities fraud scheme has been sentenced to home confinement and will be required to pay back more than $10 million to his victims for his crimes.
Martin Feibish was sentenced last week to one year of home confinement and five years’ probation, for his role in a Ponzi scheme that that defrauded Florida residents out of $5 million. He also was also ordered to pay a combined restitution totaling $10,106,209.97 to the victims and Massachusetts Mutual Insurance.
Between 2001 and 2011, Feibish used investment fraud schemes to induce an investor into putting more than $5 million in funding for companies he could control. He also acted as an independent insurance agent and investment broker, creating two investment companies.
Through the false investment schemes he created, Feibish only returned a portion of the funds to the investor and claimed that the funding was a return on the investor’s investments. In reality, the funding was the result of a Ponzi scheme, while Feibish used the investor’s funding for his own benefit.
Feibish also filed a tax return for 2009 that claimed a negative income of $94,699 when he had actually received a substantially higher income.
If you or a loved one have been taken advantage of by a deceptive securities fraud scam, call Sokolove Law to learn more about pursuing a securities fraud lawsuit today. For legal help, call (800) 581-6358.