Robert V. Matthews, Investment and Visa Fraud, Florida 2024

Robert V. Matthews, 61, of Palm Beach, Florida, stood silently in a Bridgeport federal courtroom today before admitting his role in a sprawling investment fraud, bank fraud, money laundering, and tax evasion scheme that preyed on foreign investors seeking U.S. residency. Matthews pleaded guilty to conspiracy, money laundering, and tax evasion charges tied to the abuse of the federal EB-5 visa program—a system meant to channel foreign capital into American development projects, not enrich developers through deception.

The fraud centered on The Palm House Hotel (PHH), a Palm Beach property Matthews lost in foreclosure in 2009. Though he reacquired control in 2013 through Palm House, LLC, he concealed his ownership by listing his brother, Gerry Matthews, as the 99 percent owner in official documents. Maria Matthews, 52, his wife, also pleaded guilty today—to tax evasion—after years of living off illicit proceeds while maintaining homes in both Florida and Connecticut.

Between 2012 and 2014, South Atlantic Regional Center, LLC (SARC) in Palm Beach marketed the PHH as a prime EB-5 investment opportunity. Investors were promised luxury returns, elite advisory board members, and celebrity affiliations—none of which existed. Matthews admitted he knowingly misled investors, claiming funds would go solely to PHH development while diverting millions for personal use, including paying off credit card debts and purchasing high-end properties in Washington Depot, Connecticut.

Among the properties bought with stolen EB-5 funds was one Robert Matthews had previously lost to foreclosure. He and co-conspirator Nicholas Laudano, a longtime construction contractor on the PHH project, conspired to buy it back by hiding their relationship and laundering the source of the purchase money through layered bank accounts across Connecticut and Florida.

Federal prosecutors, including John H. Durham, U.S. Attorney for the District of Connecticut, say the scheme undermined the integrity of the EB-5 program and exploited the dreams of foreign nationals seeking a foothold in America. Instead of building a hotel, Matthews built a web of lies—falsifying ownership records, fabricating partnerships, and laundering investor dollars meant to fuel job creation into private luxury.

Robert V. Matthews now faces significant prison time, forfeiture of assets, and restitution to victims. The FBI and IRS-Criminal Investigation, led by Special Agents Brian C. Turner and Kristina O’Connell, continue to untangle the full scope of the fraud. As the case unfolds, one truth is clear: beneath the glossy brochures and promises of penthouse lifestyles was a hollow shell of corruption fueled by greed and betrayal.

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