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New York Attorney Convicted of Stealing $20 Million from Investors and Bank
John Arthur Hanratty, a 50-year-old licensed attorney from New Jersey, was found guilty of his role in a fraudulent scheme to steal over $20 million from investors and a Federal Deposit Insurance Corporation (FDIC)-insured bank.
Hanratty, the founder and managing director of Ebury Street Capital, LLC, an investment firm with a portfolio primarily comprised of municipal tax liens, made materially false statements to obtain loan advances from the bank. He inflated by millions of dollars the tax lien collateral pledged to the bank, resulting in the bank being defrauded of over $20 million.
The defendant’s fraud also resulted in millions of dollars of losses for the investors in Ebury Street Capital. Hanratty falsely told investors and the bank that the tax lien collateral was managed by an independent third-party custodian, when in reality, that was not true.
Hanratty was convicted of one count of wire fraud, which carries a maximum sentence of 20 years in prison; one count of bank fraud, which carries a maximum sentence of 30 years in prison; and two counts of money laundering, each of which carries a maximum sentence of 10 years in prison.
The prosecution of this case is being handled by the Office’s Complex Frauds and Cybercrime Unit. Assistant U.S. Attorneys Andrew Chan, Nicholas Chiuchiolo, Danielle Kudla, and Adam Sowlati are in charge of the prosecution, with assistance from Paralegal Specialist Alexander Ross.
Hanratty is scheduled to be sentenced on January 20, 2026.
Key Facts
- State: New York
- Category: Fraud & Financial Crimes
- Source: DOJ Press Release â†â€â€
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