Adviser sentenced in bank bailout fraud case
A former financial adviser has been sentenced to 10 years for bilking clients out of at least $6.5 million in the first fraud case related to the federal bank bailout program.
A former financial adviser has been sentenced to 10 years for bilking clients out of at least $6.5 million in the first fraud case related to the federal bank bailout program.
Gordon B. Grigg, of Franklin, Tenn. was sentenced Thursday by U.S. District Court Judge Aleta Trauger for four counts of mail fraud and four counts of wire fraud.
Prosecutors said that last year, Grigg began falsely claiming that his firm, ProTrust Management Inc., could invest their money in government-guaranteed debt as part of the $700 billion Troubled Asset Relief Program.
In a plea agreement in April, Grigg pleaded guilty to the eight counts.
The criminal charges were the first filed through TARP’s inspector general’s office.
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