by The Compliance Exchange on July 27, 2012
Former hedge-fund manager Ward Onsa was sentenced to 6 1/2 years in prison for using his firm, New Century Investment Management LLC, to run a Ponzi scheme.
Onsa pleaded guilty in Brooklyn, New York, federal court in December to one count of securities fraud in connection with the scheme. Investors, primarily retirees, lost more than $3 million, according to the government.
Through New Century, Onsa made special arrangements with institutional money managers, including Charles Schwab & Co. (SCHW) (SCHW) and Millennium Trust Co., to facilitate the theft, the U.S. alleged. As part of his penalty, Onsa today was also ordered to pay $3.1 million as restitution and to serve three years of supervised release.
Read the full story at Businessweek.
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