QUEEN CITY DEVELOPER PLEADS GUILTY IN REAL ESTATE SCAM
CONCORD, N.H. –Christian W. Silvestri, 38, has pleaded guilty to federal wire fraud, announced
United States Attorney John P. Kacavas.
Silvestri, formerly a real estate developer, admitted that in July 2005, he falsely induced four
residents of New Hampshire to give him a total of $140,000.00 for the purpose of purchasing and developing certain residential real estate in Newton, Massachusetts. He represented that he would use the investors' money to purchase the property, raze a modest existing structure and build a new home. He represented that he would be able to sell the new home for a substantial profit in which he and the investors would share.
At his plea hearing, Silvestri admitted that he never purchased or developed the Newton property.
Instead, he used all or almost all of the investors' money for purposes unrelated to any real estate
development in Newton. He admitted using the investors' funds to: (i) reinstate a foreclosed mortgage on his vacation home in Florida; (ii) pay a civil judgment that was about to result in a sheriff's sale of Silvestri's primary residence; (iii) pay an overdue American Express bill of $14,835; and (iv) satisfy delinquent rent on Manchester property from which he would soon be evicted. Silvestri admitted that he repeatedly misled the investors to believe that their money was safe and being used for its intended purpose. He admitted that, even after the Newton property was developed by someone else, he misled investors to believe that he had developed the property and that he controlled the proceeds of the sale. Silvestri admitted that he never paid the investors their promised profit or returned any portion of their investments but sought to extinguish his debts to them by seeking bankruptcy protection.
Silvestri's sentencing on the wire fraud charge, which carries a maximum of twenty years
imprisonment, is scheduled for March 29, 2011. He is free on bail pending sentencing but he is prohibited
from engaging in any business involving the construction, purchase, sale or lease of real estate.
The Bedford Field Office of the Federal Bureau of Investigation conducted the investigation that led
to Silvestri's prosecution. The case is being prosecuted by Assistant U.S. Attorney Bill Morse.