Chicago Area Man Sentenced for Nationwide Scam Involving Five Victims in Wisconsin
Gregory J. Haanstad, United States Attorney for the Eastern District of Wisconsin, announced that on August 9, 2017, Gregory J. Kuczora (age: 55) of Elgin, Illinois, was sentenced to 70 months in federal prison for wire fraud, in violation of Title 18, United States Code, Section 1343/
The Green Bay branch of the Federal Bureau of Investigation began looking into Kuczora’s activities after it learned that several residents of Marinette County had paid Kuczora approximately $100,000 in up-front fees in exchange for “guaranteed” business loans. To carry out his scheme, Kuczora set up a sham corporation known as “Kensington Capital Partners,” which Kuczora represented was based in London, England. In reality, Kensington Capitol Partners’ address in London was a rented mailbox that forwarded all correspondence to Kuczora at his Elgin, Illinois home. Kuczora also created a website for Kensington Capital Partners that made lofty claims that Kuczora had funded billions of dollars in loans in a dozen countries; the FBI investigation failed to locate a single successful loan involving Kuczora.
The FBI’s investigation revealed that Kuczora defrauded 68 individuals of approximately $1.2 million operating under the names “Kensington Capital Partners,” “KCS Financial,” and “Alliance Capital Banc.” Kuczora used the money to pay his family’s living expenses, including the purchase of new vehicles, horses, a lavish salary and bonuses. The investigations also revealed that Kuczora underpaid approximately $200,000 in federal income taxes during this time.
Chief Judge William C. Griesbach heard from numerous victims of Kuczora’s fraud. The victims detailed the effects of Kuczora’s crimes including several who lost their businesses or business opportunities, and one who ended up homeless. Judge Griesbach called Kuczora’s actions “severe” and noted that Kuczora’s expression of remorse was largely focused on himself. The judge found a strong need to protect the public from Kuczora and was convinced that without substantial punishment, the defendant would continue his illegal behavior. Ultimately, the judge rejected Kuczora’s request for probation, and instead declared it the exceptional case requiring incarceration beyond even established federal guidelines. The court also ordered 3 years of supervised release and ordered Kuczora to pay full restitution to his victims.
This case was investigated by the Federal Bureau of Investigation and the Marinette County Sheriff’s Office. It was prosecuted by Assistant United States Attorneys Matthew D. Krueger and Daniel R. Humble.
# # #
For further information contact:
Public Information Officer Dean Puschnig