A Syosset man pleaded guilty to securities fraud charges in a Ponzi scheme that prossecutors said bilked $30 million from 200 unwitting Wall Street investors.
According to court filings from the U.S. Attorney for the Eastern District of New York, Eric Aronson, 46, admitted to using his victims’ money to fund his personal expenditures — including vacations, watches, jewelry and cars — from approximately Aug. 2006 to Dec. 2010. The district attorney said Aronson and his coconspirators issued promissory notes to investors and promised to use the proceeds to finance shipments of Permapave paving stones from Australia to the U.S. In reality, Aronson, together with his coconspirators, operated a Ponzi scheme whereby some investors were paid returns on their investment from the funds the defendant obtained from other defrauded investors.
”The defendant used the promise of sound securities investments to steal investor funds. He pretended to be a legitimate businessmen but he was no more than a common thief,” said Loretta Lynch, U.S. Attorney for the Eastern District of New York. “Through his actions, the defendant caused the financial ruin of many, all the while enriching himself. This office will vigorously investigate and prosecute those who lie to, cheat, and steal from the investing public.”
Aronson faces up to 20 years in prison if convicted.