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Justice News

Department of Justice
U.S. Attorney’s Office
District of Connecticut

FOR IMMEDIATE RELEASE
Wednesday, May 12, 2021

Cheshire Investment Advisor Admits Stealing More Than $600K from Elderly Client

Leonard C Boyle, Acting United States Attorney for the District of Connecticut, and David Sundberg, Special Agent in Charge of the New Haven Division of the Federal Bureau of Investigation, announced that MATTHEW O. CLASON, 39, of Cheshire, waived his right to be indicted and pleaded guilty today before U.S. District Judge Michael P. Shea in Hartford to one count of wire fraud related to his misappropriation of more than $600,000 from an investment client.

According to court documents and statements made in court, Clason was an investment advisor and a registered representative of Lincoln Financial Advisors Corporation, and then LPL Financial LLC.  Beginning in approximately 2015, Clason provided investment services to a 73-year-old Connecticut resident (“the victim”).  The victim had at least five investments accounts with Clason and, in January 2018, Clason and the victim opened a joint bank account.  From 2018 to August 2020, Clason transferred more than $668,000 from the victim’s investment accounts into the joint bank account and, without the victim’s knowledge or authorization, withdrew more than $621,000 in cash from the bank account for his personal use. Clason also transferred $5,000 directly from the joint bank account to his personal bank account, and made two transfers from the joint bank account to pay his personal credit card.

Judge Shea scheduled sentencing for August 5, 2021, at which time Clason faces a maximum term of imprisonment of 20 years. 

Clason is released on bond pending sentencing.       

This matter is being investigated by the Federal Bureau of Investigation and prosecuted by Assistant U.S. Attorney Heather L. Cherry.

The Justice Department has established a National Elder Fraud Hotline to provide services to seniors who may be victims of financial fraud.  The Hotline is staffed by experienced case managers who can provide personalized support to callers.  Case managers assist callers with reporting the suspected fraud to relevant agencies and by providing resources and referrals to other appropriate services as needed.  When applicable, case managers will complete a complaint form with the Federal Bureau of Investigation Internet Crime Complaint Center (IC3) for Internet-facilitated crimes and submit a consumer complaint to the Federal Trade Commission on behalf of the caller.  The Hotline’s toll-free number is 833-FRAUD-11 (833-372-8311).

Topic(s): 
Elder Justice
Financial Fraud
Securities, Commodities, & Investment Fraud
Component(s): 
Updated May 12, 2021