- Posted October 17, 2011
- Tweet This | Share on Facebook
Partner in Ponzi scheme agrees to enter guilty plea
DETROIT (AP) -- The chief executive of a Michigan-based firm has agreed to plead guilty to wire fraud as part of what the government says was a Ponzi scheme that bilked investors out of millions of dollars.
Records in U.S. District Court in Detroit show that Richard Trabulsy of Northville also agreed to cooperate with the government's case against his business partner John Bravata.
The U.S. Securities and Exchange Commission says the managers of BBC Equities and Bravata Financial were recycling investors'a money to other investors and spending millions on lavish lifestyles.
Trabulsy was chief executive of BBC Equities.
Bravata is charged with conspiracy to commit fraud. Authorities say he collected $53 million from investors, but Bravata has claimed he legitimately invested the money in real estate and denies any fraud.
Published: Mon, Oct 17, 2011
headlines Oakland County
- Associations gather for Spring Fling
- Nessel’s FORCE team partners with Postal Inspection Service to combat organized retail crimes
- Fans warned of price gouging tied to NFL Draft
- Appeals court dismisses charges against a Michigan election worker who downloaded a voter list
- Oakland County Planting Nearly 500 Trees on Government Campus
headlines National
- New Legalese: You may have heard a deepfake, but what about ‘Twiqbal’?
- From Intake to Outcome: An in-house lawyer’s guide to matter management solutions
- 2 BigLaw firms in merger talks that could produce 1,600-lawyer firm with top 50 revenue
- Send in the paralegals
- Lawyer reprimanded after mistakenly emailing opposing counsel with plan to avoid judge’s call
- ‘I don’t play well’ judge who threatened to track down, jail misbehaving litigant gets tossed from case