A former liquor distributor on Long Island whose product was featured on the TV show “Shark Tank” will spend time in prison after being sentenced for defrauding investors.
Joseph Falcone, 60, who formerly operated a wine and liquor distribution business known as 3G’s Vino was sentenced to two years in prison for wire fraud in connection to his fraud scheme.
In addition to his prison sentence, Falcone was also ordered to pay $1.8 million in restitution to seven investigators following his guilty plea last June.
Acting U.S. Attorney Seth DuCharme said that in December 2012, Falcone established 3G’S, which was based in Bethpage and Farmingdale.
Among other products, 3G’S distributed a single-serving wine in a sealed glass, which was featured on “Shark Tank.”
Between September 2014 and November 2015, DuCharme said that Falcone solicited investments and promised potential investors that their money would be used to fund 3G’S by purchasing the single-serving wine product.
Relying on those promises, investors wired money to bank accounts in Florida controlled by Falcone, who now resides in Rockledge, Florida.
DuCharme said that instead of investing the money as promised, Falcone used approximately $527,064 for his personal benefit by paying off the mortgage on a residence in Florida and funding his online securities trading.
“Falcone’s victims were reeled in by his 'Shark Tank' pitch, but with today’s sentence, the defendant is now squarely on the hook for his crimes,” DuCharme stated. “This office remains committed to prosecuting those who mislead the public and abuse the trust placed in them to engage in fraud against their own investors
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