G. Steven Burrill, $283M Investment Fraud, California 2024

Grimy Times has uncovered a shocking case of alleged investment fraud in California, with two men charged in a multi-million dollar scheme.

G. Steven Burrill, the owner and CEO of Burrill & Company (B&C) and related entities, has been indicted by a federal grand jury in San Francisco on charges of wire fraud, investment adviser fraud, and tax evasion.

According to the 34-count indictment, Burrill allegedly managed investment funds, including the Burrill Life Sciences Capital Fund III, L.P., which had a total committed capital of approximately $283 million. Burrill is accused of inducing limited partners to contribute capital to the fund with false and misleading letters, and of causing the fund to transfer millions of dollars in management fees to companies he controlled.

Burrill is also accused of filing false and fraudulent U.S. Individual Income Tax Returns, Forms 1040, which understated his income by excluding money he transferred out of the fund and into accounts he controlled. Berger is alleged to have willfully assisted Burrill in preparing and presenting to the IRS three income tax returns in which Burrill understated his income.

If convicted, Burrill faces a statutory maximum sentence of 20 years in prison and a fine of $250,000 or twice the gross gain for each count of wire fraud; five years in prison and a fine of $250,000 for investment-adviser fraud, and five years in prison and a $250,000 fine for tax evasion.

Acting Deputy Assistant Attorney General Stuart M. Goldberg praised the work of special agents of the IRS Criminal Investigation and the FBI, who conducted the investigation, and Assistant U.S. Attorney Robert Leach and Trial Attorney Lori Hendrickson of the Tax Division, who are prosecuting the case.

An indictment merely alleges that crimes have been committed, and the defendants are presumed innocent until proven guilty beyond a reasonable doubt.

A spokesperson for the U.S. Attorney’s Office for the Northern District of California declined to comment further on the case.

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