A Bergen County accountant pleaded guilty after admitting he ran a Ponzi scheme that defrauded investors of more than $10 million and committed related bank-fraud and tax offenses. Prosecutors say he diverted client funds for personal use and will face restitution and sentencing.

A Bergen County, New Jersey accountant pleaded guilty to charges stemming from a Ponzi scheme that bilked investors of over $10 million, federal prosecutors announced. The defendant admitted operating an investment fraud that promised returns to clients while using incoming funds to pay earlier investors and to support a lavish personal lifestyle. In addition to admitting to the Ponzi scheme, he acknowledged related bank-fraud and tax offenses, including failing to report illicit income and misrepresenting financial transactions to financial institutions. Prosecutors described a pattern of diversion of client assets for personal use, the creation of false account statements, and deliberate concealment of the scheme’s insolvency from victims. The plea agreement contemplates significant restitution obligations, potential forfeiture of assets traceable to the fraud, and a forthcoming sentencing where federal guidelines and statutory penalties will inform the term. Authorities noted the case underscores risks posed by trusted financial professionals and highlighted cooperative efforts between investigators and victims to quantify losses and recover funds where possible.