Owner Of Local Advertising Company Sentenced On Fraud Charges
St. Louis, MO – CARY JORDAN was sentenced to 18 months on fraud charges involving his diversion of over $500,000 of client funds for his personal use. Additionally, he was ordered to pay restitution of $519,975.
According to court documents, Cary Jordan owned and operated the Jordan Group, which was in the business of assisting companies in placing advertisements with various print, radio, television and outdoor media companies throughout the United States and Canada. Jordan Group clients contracted them to act on their behalf in finding media outlets for their advertising campaigns. Once the Jordan Group located media outlets in the appropriate geographical location for the advertising campaigns, they negotiated with the media outlets on behalf of its clients and invoiced a pre-bill to the client based on the price and estimated number of advertising spots negotiated with the media outlets. In turn, clients paid the Jordan Group based on the pre-bill. After the ads ran, the media outlets invoiced the Jordan Group based on the price and actual number of advertising spots that ran. The Jordan Group then made payment to the media outlet from the funds it received from its client due to the pre-bill.
Between January and October 2008, the Jordan Group ceased paying the media outlets for their advertising spots. Instead, Cary Jordan diverted funds for his personal use and invested in other non-related investment opportunities.
Jordan, formerly of Webster Groves, MO, currently residing in Florida, pled guilty in February to two felony counts of mail fraud. He appeared today for sentencing before United States District Judge John A. Ross.
This case was investigated by the Federal Bureau of Investigation. Assistant United States Attorney Dianna Collins handled the case for the U.S. Attorney’s Office.