Businessman Sentenced to 33 Months in Prison for Defrauding Real Estate Investors
PITTSBURGH – A resident of Allegheny County, Pennsylvania has been sentenced in federal court to 33 months incarceration and 3 years supervised release on his conviction of wire fraud, Acting United States Attorney Soo C. Song announced today.
Senior United States District Judge Donetta W. Ambrose imposed the sentence on Golan Barak, 50, of Pittsburgh, PA.
According to the information presented to the court, between 2013 and 2016, Barak falsely induced foreign nationals, mostly of Israeli descent, to invest with him in real estate in Pittsburgh, Pennsylvania, but fraudulently dissipated investors’ money for personal and business expenses, or to buy other properties, or to pay other investors. In particular, Barak defrauded two Israeli investors out of approximately $1,400,000 connected with the purchase of 12 pieces of real estate throughout the Pittsburgh area. The purchase money was used instead by Barak to purchase other properties, or for Barak’s expenses in his management company called Ergo Management.
Assistant United States Attorney Gregory C. Melucci prosecuted this case on behalf of the government.
Acting U.S. Attorney Soo C. Song commended the FBI for the investigation that led to the successful prosecution of Golan Barak.