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NJ man gets 33-month sentence in investment fraud

11-2-13

CAMDEN, N.J. (AP) — A northern New Jersey man involved in an investment fraud scheme that bilked investors out of millions of dollars has been sentenced to 33 months in prison.

Federal prosecutors say 31-year-old Carmelo Provenzano of Garfield also must pay more than $4.5 million in restitution to 13 victims under the sentence imposed Friday. He pleaded guilty in August 2012 to charges of wire fraud conspiracy.

Authorities say Provenzano was one of three conspirators involved in the Ponzi scheme.

They told investors they ran hedge funds that could deliver high returns on investments in foreign currency markets. The men claimed they had a secret computer program that had enabled them to achieve returns of more than 170 percent in the prior two years.