New York RIA head sentenced to 13 years for Ponzi scheme

New York RIA head sentenced to 13 years for Ponzi scheme
Court also orders Hector May to pay $8.4 million in restitution.
AUG 01, 2019

The head of a suburban New York RIA, Hector May, who pleaded guilty last December to stealing $11.5 million from investors in a Ponzi scheme, has been sentenced to 13 years in prison and ordered to pay $8.4 million in restitution. (More:Securities America hit with lawsuit seeking $18 million in damages) Mr. May, 77, of Orangeburg, N.Y., who headed Executive Compensation Planners, induced more than 15 clients to turn over money from their securities accounts under the false pretense that he would use the money to purchase bonds and other investments on their behalf. Instead, he used the money for personal and business expenses and to pay back other investors. In December, he confessed to one count of conspiracy to commit wire fraud and one count of investment adviser fraud. U.S. District Court Judge Vincent Bricetti said that he was not adding a fine to the sentence because "the defendant should use whatever money he has for repaying the victims," the news site LoHud.com reported.

Latest News

Integrated Partners, Kestra welcome multigenerational advisor teams
Integrated Partners, Kestra welcome multigenerational advisor teams

Integrated Partners is adding a mother-son tandem to its network in Missouri as Kestra onboards a father-son advisor duo from UBS.

Trump not planning to fire Powell, market tension eases
Trump not planning to fire Powell, market tension eases

Futures indicate stocks will build on Tuesday's rally.

From stocks and economy to their own finances, consumers are getting gloomier
From stocks and economy to their own finances, consumers are getting gloomier

Cost of living still tops concerns about negative impacts on personal finances

Women share investing strengths, asset preferences in new study
Women share investing strengths, asset preferences in new study

Financial advisors remain vital allies even as DIY investing grows

Trump vows to 'be nice' to China, slash tariffs
Trump vows to 'be nice' to China, slash tariffs

A trade deal would mean significant cut in tariffs but 'it wont be zero'.

SPONSORED Compliance in real time: Technology's expanding role in RIA oversight

RIAs face rising regulatory pressure in 2025. Forward-looking firms are responding with embedded technology, not more paperwork.

SPONSORED Advisory firms confront crossroads amid historic wealth transfer

As inheritances are set to reshape client portfolios and next-gen heirs demand digital-first experiences, firms are retooling their wealth tech stacks and succession models in real time.