Additional fraud charges filed against financial adviser
WATERBURY, Conn. (AP) — Federal prosecutors have filed more charges against a former financial adviser in Connecticut who allegedly defrauded clients out of more than $1 million through a Ponzi scheme.
Federal prosecutors say a federal grand jury in New Haven on Tuesday approved nine additional counts against 42-year-old Leon Vaccarelli, including six counts of securities fraud and three counts of wire fraud.
The Waterbury man now faces 21 counts.
The U.S. Securities and Exchange Commission says Vaccarelli told clients he was investing their money, but instead deposited it into his personal and business bank accounts and used it to pay tuition and mortgage payments. He also used some money to pay other investors.
Some clients lost their retirement savings.
Vaccarelli’s attorney, Jonathan Einhorn, says alcoholism played a role in his client’s actions.