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Judge sentences investment advisor to 15 years for Ponzi scheme
CINCINNATI (WKRC) -- A judge sentenced former investment adviser, Glen Galemmo, to 15 years and eight months in prison, on August 28th, 2014, for cheating investors out of more than one hundred million dollars.
Galemmo pleaded guilty this year to running what prosecutors called a Ponzi scheme. He used client money to pay for an office building and vacation condo and his home mortgage. He agreed to forfeit three million dollars in assets, including his Madison Road home and the Walnut Hills office he bought and renovated.
"What makes Galemmo's conduct so egregious - and separates him from a defendant who embezzles money from his employer or commits mortgage fraud - is that he lied to investors on a daily basis, over and over again, over the course of many years, and in so doing, he destroyed the financial future of countless individuals," Assistant U.S. Attorney Emily Glatfelter told the court prior to sentencing.
Galemmo made a plea agreement to get a reduced sentence for wire fraud and money laundering. Despite pleas for leniency, the judge gave him the maximum. Galemmo was scheduled to be sentenced Wednesday, but there was so much testimony it was delayed until Thursday.