Businessman sentenced to 17 years in prison for $34M fraud

October 23, 2019 GMT

PHILADELPHIA (AP) — A Philadelphia businessman who amplified the size of his legal benefits firm to gain more than $30 million in loans has been sentenced to 17 ½ years in prison.

Gary Alan Frank was sentenced in Philadelphia on Tuesday where the judge described the defendant as a “serial pathological liar in all aspects of his life.”

Frank pleaded guilty in April to multiple counts of wire fraud and money laundering, among other crimes.

The 49-year-old owned the Philadelphia-based legal services company Legal Coverage Group Ltd. Federal investigators say Frank inflated the size of his business, claiming in bankruptcy filings it had $378 million in revenue in 2017 when it really had less than $2 million.

Frank has also been ordered to pay $33.7 million in restitution. His lawyer declined to comment.