Reported by Michael Katz

The “shadow” CEO of a New Jersey real estate investment firm has pleaded guilty to defrauding more than 2,000 investors of more than $650 million through a Ponzi scheme while also conspiring to evade tens of millions of dollars in taxes.

The U.S. Attorney’s Office for the District of New Jersey referred to Nicholas Salzano as the “shadow chief executive officer” of Secaucus-based National Realty Investment Advisors who secretly ran the company behind the scenes. Salzano admitted to misappropriating millions of dollars from investors to benefit himself, his family and friends.

Prosecutors say Salzano hid his true managerial role at NRIA to avoid investors looking into his background and finding out that he pleaded guilty in 2006 to five counts of theft by fraud.

According to the indictment against Salzano, he and his cohorts ran an aggressive nationwide marketing campaign that involved thousands of emails to investors; TV, radio and billboard ads; and meetings with and presentations to investors.

Read full report: https://www.ai-cio.com/news/shadow-ceo-of-real-estate-investment-firm-pleads-guilty-to-650m-ponzi-scheme/