Man Sentenced to 54 Months for $4M Investment Fraud Scheme

Charles Lawrence, 50, was sentenced to 54 months in prison for orchestrating a $4 million investment fraud scheme.Photo byNathan DumlaoonUnsplash

Charles Lawrence, 50, of Northpoint, New York, has been sentenced to 54 months in federal prison for orchestrating an investment fraud scheme that defrauded investors of over $4 million, the U.S. Attorney's Office for the Eastern District of Wisconsin announced today.

Lawrence's scheme targeted victims both in the United States and abroad. the department says.

Court records revealed that Lawrence, a former investment advisor, used entities under the name "Landes" to solicit investments, promising significant returns in a so-called “trading program.”

Lawrence falsely claimed that investors' funds would be secure and that profits of 50% or more were likely.

He used “finders” to attract victims, giving them the illusion of legitimacy through contracts and fraudulent web portals that showed fake account balances and performance updates.

Rather than investing the money, Lawrence spent nearly $5 million on personal luxuries, including private jet trips, vacations, and extravagant purchases such as a 10.8-carat diamond Cartier ring, according to the court.

“This was a scam from the very beginning,” said United States District Judge Lynn Adelman during sentencing.

Adelman highlighted the sophisticated nature of Lawrence’s deception, which included false web portals that misled victims into believing their investments were secure, the department stated.

In addition to the prison sentence, Lawrence was ordered to pay $4,030,263.51 in restitution to his victims, the department says.

The court also ordered the forfeiture of the Cartier ring and a Range Rover purchased with the stolen funds.

“The defendant in this case was held accountable for fraudulently obtaining millions of dollars through an investment scam and using those stolen funds to enrich himself, at the expense of unsuspecting victims,” Special Agent in Charge Vince Zehme of the Federal Deposit Insurance Corporation Office of Inspector General said.