Elliot Sperling, an erstwhile Florida private-equity executive, pleaded guilty to bank and wire fraud charges in Manhattan, admitting to a federal judge that he misled banks and investors to acquire $140 million for his company, JES Capital Group.
“Good morning, Your Honor,” Smerling said, “I’m guilty of bank and wire fraud.” Beginning in 2013, he said he misled two federally insured banks and investors, fabricating audit letters and signatures to get loans and investment funds.
According to a plea deal, Smerling, detained as a flight risk following his February arrest, faces a possible max sentence of 50 years in prison and has accepted to relinquish and pay damages of nearly $134 million.
According to the FBI, the defendant, a well-known figure in southwest Florida with two huge residences and a fleet of expensive automobiles, lied for years before his arrest to support his private equity firm.
Although charging documents in New York do not name his fund or victims, JES Global has been targeted in federal courts in Manhattan and West Palm Beach, Florida by both Silicon Valley Bank and Citizens Bank. Both banks were successful in their lawsuits against Smerling and JES Global Capital.
Speak with an Investment Fraud Attorney
Our AV-rated* Investment fraud lawyers have extensive experience litigating a broad range of cases including stockbroker and brokerage misconduct. If you are looking for an investment fraud attorney to review your rights and options, the investment fraud lawyers at Dimond Kaplan & Rothstein, P.A. have a proven track record of getting results for clients.
Contact Dimond Kaplan & Rothstein Today
Contact an investment fraud attorney at Dimond Kaplan & Rothstein, P.A. to schedule a FREE case evaluation. Our offices are located in Miami, Los Angeles, West Palm Beach, New York, Naples, and we represent clients nationwide. Translation services are available.