Adviser who led double life gets 17 years for $20M fraud
A federal judge has sentenced a Massachusetts adviser to more than 17 years in prison for committing a fraud that netted him more than $20 million from the descendants of a 19th-century industrialist and using the money on personal extravagances, including three private jets.
A federal judge has sentenced a Massachusetts adviser to more than 17 years in prison for committing a fraud that netted him more than $20 million from the descendants of a 19th-century industrialist and using the money on personal extravagances, including three private jets.
John Doorly last Tuesday was also ordered to pay a $1 million fine for stealing from Tenens Corp. The company was created to manage trusts for descendants of the late Frederick Ayer Jr., who owned textile mills.
A representative for the Ayer family told InvestmentNews last year that Mr. Doorly used the money to purchase homes for his family — and mistress — and to support his “double life” (InvestmentNews, March 6, 2009)
“Doorly looted this family out of tens of millions of dollars and joins the likes of disgraced money manager [Bernard] Madoff,” Will Nystrom, an attorney at Nystrom Beckman & Paris LLP, stated in March 2009.
Mr. Doorly’s indictment at that time, he continued, “clearly spells out how Doorly led a “double life’ and exploited the trust of his victims.”
A 2008 lawsuit by Tenens against its auditors estimated the theft at $57 million.
Mr. Doorly pleaded guilty to mail fraud and money laundering in November.
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