Mario E. Rivero Jr., Theft of Client Funds, New Jersey 2020

State: New Jersey
Category: White Collar Crime
Source: <a href="https://www.justice.gov/usao-nj/pr/union-county-investment-advisor-arrested-stealing-client-money" style="color:#cc0000;" target="_blank" rel="nofollow noopener">DOJ Press Release ÃƒÂ¢Ã¢â‚¬Â Ã¢â‚¬â€

Grimy Times has learned that a former investment advisor from Union County, New Jersey, has been arrested and charged with allegedly stealing over $529,870 from multiple clients to fund his gambling and personal expenses.

The arrest of Mario E. Rivero Jr., 38, of Elizabeth, New Jersey, is the result of a lengthy investigation led by the FBI and the U.S. Postal Inspection Service. Rivero, who was employed by a large brokerage firm, is accused of misappropriating client funds while serving as an investment advisor from April 2018 through November 2020.

According to court documents, Rivero perpetrated a scheme to defraud multiple clients by obtaining their money under the pretense that he would invest the funds, but instead, he unlawfully diverted the funds to enrich himself and others.

As a result of the alleged scheme, Rivero faces serious consequences, including up to 20 years in prison and a $250,000 fine for each of the two wire fraud counts. He also faces up to 5 years in prison and a $10,000 fine for investment adviser fraud, and up to 20 years in prison and a $5 million fine for securities fraud.

The charges against Rivero are merely accusations, and he is presumed innocent until proven guilty. A court hearing is scheduled for today before U.S. Magistrate Judge Michael A. Hammer in Newark federal court.

U.S. Attorney Philip R. Sellinger credited the special agents of the FBI and postal inspectors of the U.S. Postal Inspection Service with the investigation leading to today’s charges. The government is represented by Assistant U.S. Attorney Shawn Barnes of the Economic Crimes Unit in Newark.

Grimy Times will continue to monitor this developing story and provide updates as more information becomes available.

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