Convicted Ponzi Schemer and Alleged Conspirator Indicted for Multimillion-Dollar Fraud Scheme and Obstruction of Justice
TRENTON, N.J. – A Monmouth County, New Jersey, man was sentenced today to 45 months for defrauding 14 victims of more than $1.2 million and fraudulently obtaining a loan of approximately $96,000 meant for small businesses during the COVID-19 pandemic, U.S. Attorney Philip R. Sellinger announced.
Anthony Mastroianni Jr., 49, of Manalapan, New Jersey, pleaded guilty on Sept. 13, 2023, before U.S. District Judge Robert Kirsch to an information charging him with two counts of wire fraud. Judge Kirsch imposed sentence today in Trenton federal court.
According to documents filed in this case and statements made in court:
In 2016, Mastroianni consented to being permanently barred by the Financial Industry Regulatory Authority (FINRA), which prohibited him from acting as a broker or intermediary in securities transactions. Despite that debarment, Mastroianni admitted that from January 2017 to August 2022 he defrauded victim investors, many of whom were senior citizens, by falsely and fraudulently claiming that he would generate large investment profits for them through his company, Global Business Development & Consulting Corporation. Instead of investing the money as promised, Mastroianni used victim funds on personal expenses. In total, Mastroianni defrauded 14 victims of approximately $1.2 million.
Mastroianni also exploited the ongoing global pandemic by submitting a false and fraudulent application to obtain approximately $96,300 from a federal COVID-19 emergency relief loan meant for distressed small businesses. As with his investment fraud scheme, Mastroianni misused the loan proceeds to make personal purchases and cash withdrawals.
In addition to the prison term, Judge Kirsch also sentenced Mastroianni to three years of supervised release and ordered restitution of $1.3 million.
U.S. Attorney Sellinger credited special agents of the U.S. Attorney’s Office, under the direction of Special Agent in Charge Thomas Mahoney in Newark, with the investigation leading to today’s sentencing.
The government is represented by Assistant U.S. Attorney Carolyn Silane of the Economic Crimes Unit in Newark.