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Justice News

Department of Justice
U.S. Attorney’s Office
District of Vermont

FOR IMMEDIATE RELEASE
Tuesday, November 1, 2016

Daniel Burgess Pleads Not Guilty To Fraud Charge

The United States Attorney for the District of Vermont announced that Daniel Burgess, 50, of Stowe, pleaded not guilty on October 31, 2016 in United States District Court in Burlington to a charge of wire fraud. U.S. Magistrate Judge John M. Conroy released Burgess on conditions pending trial, which has not been scheduled.

On October 27, a federal grand jury in Burlington returned a one-count wire fraud charge indictment against Burgess. According to the indictment, Burgess engaged in the business of buying and selling securities through a company he owned named Tucker Financial Services. The indictment alleges that in July 2011, Burgess entered into a contract with a woman from Nevada in which Burgess agreed to try to sell 520,000 shares of a penny stock the woman owned. Under the terms of the agreement, the woman would receive 80% of the gross proceeds of any stock sales and Burgess would be entitled to the remaining 20%.

The indictment charges that between August and October 2011, Burgess sold all 520,0000 shares of the penny stock for a total of about $619,000. The woman’s 80% share of the sale proceeds was about $495,000. Burgess paid her about $246,000, but fraudulently converted the remaining money for his own use.

The United States Attorney emphasizes that the charge in the indictment is merely an accusation and that the defendant is presumed innocent unless and until he is proven guilty.

If convicted, Burgess faces up to 20 years of imprisonment and a fine of up to $500,000. The actual sentence would be determined with reference to federal sentencing guidelines.

This case was investigated by the Federal Bureau of Investigation and the Vermont Department of Financial Regulation.

Burgess is represented by Jasdeep Pannu. The prosecutor is Assistant U.S. Attorney Gregory Waples.

Topic: 
Financial Fraud
Updated November 1, 2016