Thomas Pipich, Defrauding an Investment Client, Pennsylvania 2023
Pittsburgh financial advisor Thomas Pipich has been sentenced to 27 months in prison for defrauding an investment client, United States Attorney Troy Rivetti announced today.
According to information presented to the Court, Pipich stole millions of dollars from an investment client in order to conceal losses he incurred on behalf of another client.
In 2005, Pipich helped to create an investment fund, BarTom Investments, LLC, into which a friend committed millions of dollars. BarTom thereafter suffered catastrophic investment losses that resulted in it having minimal bank and investment account balances as of May 2017.
Pipich created a sham loan between BarTom and another investment client, and transferred a total of more than $3 million from the other client to BarTom pursuant to this purported loan.
He also told a series of lies about the purported loan, including providing false asset summaries that overstated the value of the purported loan and pretending that the loan was secured when it was not.
Ultimately, Pipich paid himself more than $800,000 from the proceeds of the purported loan, and lost at least $2.6 million through further investment losses.
“This defendant, a financial advisor, betrayed his friend and client, and he stole millions of dollars,” said United States Attorney Rivetti.
“Working with our law enforcement partners, our office will continue to ensure that financial advisors who abuse their clients’ trust in order to enrich themselves will be investigated and prosecuted, and as this case demonstrates, face serious consequences and years of incarceration.”
The defendant, Thomas Pipich, was sentenced to 27 months of imprisonment for defrauding an investment client.
He was also ordered to pay more than $4.7 million in restitution.
The crime occurred in Pittsburgh, Pennsylvania, where Pipich is a resident.
Key Facts
- State: Pennsylvania
- Category: White Collar Crime
- Source: DOJ Press Release â†â€â€
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