Holston, Young, Parker & Associates Operator Boris Shuster has pled guilty to 14 counts of wire fraud and 13 counts of mail fraud in a foreign currency exchange scam that cost approximately $6.5 million and affected over 200 investors.
Shuster, also known as “Robert,” was sentenced to 12 years and six months in prison and ordered to pay $6.432 million in restitution, a $10,000 fine, and $7.895 million in disgorgement. New York prosecutors had tried to obtain a sentence of 20 to 25 years in prison for Shuster. He had already been sentenced to five years in prison for a different forex scheme.
According to prosecutors, Holston, Young, Parker & Associates is a fraudulent forex firm. The other owners and employees have also pled guilty to criminal charges related to the scam.
Employees working in the “boiler room” lied to potential investors and investigators. False statements made included bogus information about invested funds, lying about the firm and their own experience, and using bogus titles and names when talking to potential clients on the telephone. They also engaged in high pressure sales methods to get investments.
Investors’ money were sent to offshore bank accounts in Russia and Cyprus instead of used to make investments.
The law firm of Shepherd Smith and Edwards represents investors throughout the United States as well as abroad that have lost money because of investment scams. Contact Shepherd Smith and Edwards today for your free consultation.
Related Web Resources:
NYC Man Sentenced in Forex Scam, Forbes/AP, March 15, 2008
N.Y. man sentenced to 12 1/2 years in forex scheme, Reuters, March 15, 2008
US Charges Eleven Men in $6.5 Million Foreign Exchange “Boiler Room” Fraud, NewYorkFBI.gov, September 29, 2006