Overcast 52°
Tag:

FDIC Office of the Inspector General

News
$6.8M COVID-19 Scam: Ex-Hedge Fund Manager Gets 4+ Years, No Parole $6.8M COVID-19 Scam: Ex-Hedge Fund Manager Gets 4+ Years, No Parole
$6.8M Covid-19 Scam: Ex-Hedge Fund Manager Gets 4+ Years, No Parole A dual New York/Florida resident was sentenced in New Jersey to a plea-bargained 51 months in federal prison for fraudulently collecting more than $6.8 million in COVID-19 payroll protection loans -- $3 million of which he lost in the stock market. Gregory J. Blotnick, 35, will have to serve just about all of the sentence because there's no parole in the federal prison system. In addition to the prison term, U.S. District Judge Brian R. Martinotti sentenced Blotnick in Newark to two years of supervised release and ordered him to pay restitution of $4,577,631. Blotnick told the judge last f…

SHARE

by Jerry DeMarco
News
Ex-Chief Lending Officer Of NJ Bank Gets 18 Months In Fed Pen For Lying On SBA Loan Ex-Chief Lending Officer Of NJ Bank Gets 18 Months In Fed Pen For Lying On SBA Loan
Ex-Chief Lending Officer Of NJ Bank Gets 18 Months In Fed Pen For Lying On SBA Loan A former New Jersey bank chief lending officer from Pennsylvania was sentenced to 18 months in federal prison Wednesday for lying to the Small Business Administration, authorities said. James Bortolotti, 53, will have to serve just about all of the term because there's no parole in the federal prison system. Bortolotti signed off on an application to the SBA for a guaranteed $3.75 million on $5 million in loans given to a small Robbinsville business by First Choice Bank in Trenton even though he knew the information about the company's credit-worthiness was false, Acting U.S. Attorney for N…

SHARE

by Jerry DeMarco
News
Ex-Hedge Fund Manager From NY, FL Admits $6.8M COVID-19 Scam In NJ Federal Court Ex-Hedge Fund Manager From NY, FL Admits $6.8M COVID-19 Scam In NJ Federal Court
Ex-Hedge Fund Manager From NY, FL Admits $6.8M Covid-19 Scam In NJ Federal Court A dual New York/Florida resident admitted in federal court in Newark that he schemed to steal more than $6.8 million in COVID-19 payroll protection loans -- $3 million of which the government said he flushed away in the stock market. Gregory J. Blotnick applied to 13 lenders for 21 loans over a period of nearly a year, beginning in March 21, 2020, lying about the number of employees at nine companies whom he supposedly needed to pay, federal authorities said. Blotnick, 34, dumped the money into a personal brokerage account instead, then poured nearly 45% of it into losing stock trades, Acti…

SHARE

by Jerry DeMarco