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Press Release

Long Island Man Sentenced to 42 Months' Imprisonment for $3 Million Bank Loan Scheme

For Immediate Release
U.S. Attorney's Office, Eastern District of New York

Earlier today, in federal court in Central Islip, Gary Confredo, also known as “Gary Conte,” the former operator of Goldstar Financial Management Corp. (Goldstar), a financial services business based in Commack, New York, was sentenced by United States District Judge Joan M. Azrack to 42 months’ imprisonment for conspiring to commit bank fraud in connection with a scheme to defraud Bank of America of more than $3.2 million in loans and lines of credit that were obtained under false pretenses.  The Court also ordered Confredo to pay $1,096,882 restitution to Bank of America.  Confredo pleaded guilty to the charge in November 2022.

Breon Peace, United States Attorney for the Eastern District of New York, and Daniel B. Brubaker, Inspector-in-Charge, United States Postal Inspection Service, New York Division (USPIS), announced the sentence.

“The defendant’s scheme of submitting fraudulent applications for commercial loans and lines of credit to Bank of America was full of lies and deception. With today’s sentence the defendant learns a powerful truth, that cheating financial institutions for personal gain will be punished and the cost is significant,” stated United States Attorney Peace.

“As a financial consultant, Confredo was a trusted member of the financial industry.  However, instead of acting ethically, he used his position to submit fraudulent loan applications on his clients’ behalf.  Many of whom were complicit in this scheme. Driven by greed, Confredo and these co-conspirators caused Bank of America to lose millions of dollars in defaulted loans. These crimes have a far-reaching and long-lasting negative impact on the financial industry and the American public.  Today’s sentencing bears truth to the fact that Postal Inspectors and our law enforcement partners will investigate and prosecute white collar criminals to the fullest extent of the law,” stated USPIS Inspector-in-Charge Brubaker.

According to court filings and facts presented at the plea proceeding, between November 2016 and October 2019, Confredo conspired with others to submit fraudulent applications for commercial loans and lines of credit to Bank of America on behalf of Goldstar clients, who agreed to pay Confredo a portion of any loan that he secured on their behalf.  To manipulate the application process, Confredo submitted altered tax returns and bank statements that falsely inflated the clients’ incomes and assets and allowed them to qualify for loans and lines of credit under Bank of America’s lending criteria.  As a result of Confredo’s scheme, Bank of America issued approximately $3.2 million in loans and lines of credit to Goldstar’s clients and sustained losses of approximately $1 million when those loans and lines of credit were not repaid. 

In July 2022, Mr. Peace was selected as the Chairperson of the White Collar Fraud subcommittee for the Attorney General’s Advisory Committee (AGAC).  As the leader of the subcommittee, Mr. Peace plays a key role in making recommendations to the AGAC to facilitate the prevention, investigation and prosecution of various financially motivated, non-violent crimes including mail and wire fraud, bank fraud, health care fraud, tax fraud, securities and commodities fraud, and identity theft. 

The government’s case is being handled by the Criminal Section of the Office’s Long Island Division.  Assistant United States Attorney Bradley T. King is in charge of the prosecution with assistance from Paralegal Specialist Samantha Schroeder and Legal Assistant Danielle Casey. Assistant United States Attorney Madeline O’Connor is handling forfeiture matters.

The Defendant:

GARY CONFREDO (also known as “Gary Conte”)
Age:  61
East Northport, New York

E.D.N.Y. Docket No. 22-CR-425 (JMA)


John Marzulli
Danielle Blustein Hass
U.S. Attorney's Office
(718) 254-6323

Updated May 15, 2024

Financial Fraud