39°
Peter Quartararo of Glen Cove was sentenced to two-and-a-half to seven-and-a-half years in prison on Friday, June 14, the Nassau County District Attorney announced.
Quartararo, who is 57, was a stockbroker who had previously been barred from operating as such in 2013 by the Financial Industry Regulatory Authority (FINRA).
Original Report - Half-Million Dollar Scheme: Long Island Broker Admits Swindling Clients
Despite that, starting in July 2018, he approached six different victims, telling them that he had access to “pre-IPO” (or pre-initial public offering) stock in companies like Peloton, WeWork, Airbnb, and Petco for approximately $2 a share.
He assured his victims that he would sell the shares when the companies went public and give them the proceeds.
Throughout this scheme, which continued through January 2021, Quartararo’s victims paid him between $14,000 and $202,000 in checks and cash for the pre-IPO shares.
Instead of using them for the shares, Quartararo deposited them into bank accounts controlled by his father, Leonard Quartararo, his business partner, Paul Casella, and another person who the DA’s Office said has not been charged.
He used the funds to buy food, travel, and vehicles, the DA said, including spending money on a 2020 Mercedes Benz SUV for himself and putting a down payment on Casella’s Maserati.
The SEC confirmed that Quartararo never purchased stocks in Peloton, WeWork, Airbnb, or Petco.
He was arrested in April 2021, and then again in August 2021 on additional charges.
“Having a trusted investment professional is essential if you are planning to wade into the stock market,” said Nassau DA Anne T. Donnelly.
“But if a deal seems too good to be true, it likely is…Taking steps to properly vet investment opportunities and those who are bringing them to you can save you from potential fraud and significant losses.”
Quartararo pleaded guilty in February 2024 to:
- Second-degree grand larceny, five counts;
- Third-degree grand larceny; and
- Scheme to defraud.
The Nassau County District Attorney had recommended a sentence of four to 12 years in prison.
Click here to follow Daily Voice Shelter Island and receive free news updates.
