Windsor Resident Admits Defrauding Employer and its Lender of More Than $700K
Vanessa Roberts Avery, 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 MARGARET BOISTURE, 50, of Windsor, waived her right to be indicted and pleaded guilty today before U.S. District Judge Omar A. Williams in Hartford to a charge stemming from her fraud against her former employer and one of its lenders.
According to court documents and statements made in court, Boisture functioned as the chief financial employee of ZoneFlow Reactor Technologies, a pre-revenue company in the business of developing and commercializing a new technology that improves the efficiency of the production of hydrogen. PayPal marketed and serviced commercial loans from WebBank, a third-party lender. Between approximately October 2016 and February 2020, Boisture defrauded ZoneFlow, PayPal and WebBank by diverting ZoneFlow money to herself; taking unauthorized loans that caused ZoneFlow to pay additional interest expense; and making misrepresentations to PayPal and WebBank to induce them to make unauthorized loans to ZoneFlow that expanded the pool of money from which Boisture could take.
In total, Boisture’s criminal conduct caused losses of $632,159.78 to ZoneFlow and $78,066.76 to PayPal and WebBank.
Boisture pleaded guilty to one count of wire fraud affecting a financial institution, an offense that carries a maximum term of imprisonment of 30 years.
Boisture is released on a $500,000 bond pending sentencing, which is not scheduled.
This matter is being investigated by the Federal Bureau of Investigation and prosecuted by Assistant U.S. Attorney David E. Novick.