Businessman gets more than 2 years for defrauding investors
PITTSFIELD, Mass. (AP) — A Massachusetts businessman who paid personal expenses and propped up his fiancee’s restaurant with money invested in companies he founded to fight cancer has been sentenced to more than two years in prison.
The Berkshire Eagle reports that Patrick Muraca was sentenced in federal court in New York City last week for misusing as much as $370,000 in investor money.
He was convicted in August of wire fraud and lying to federal investigators.
Prosecutors say the Pittsfield man told investors in MetaboRX and NanoMolecularDX their money would be used for developing cancer diagnostic exams and cancer research.
Instead, prosecutors say he used the money for mortgage payments, dining out, shopping, and restaurant expenses.
Prosecutors say Muraca lied to investigators, tried to cover up his misdeeds, and has shown no remorse.
This story has been corrected to change the defendant’s name to Muraca.
Information from: The Berkshire (Mass.) Eagle, http://www.berkshireeagle.com