A New York millionaire investor has been sentenced to up to three years in prison for defrauding his clients of nearly $7 million and diverting the funds to luxury properties.
Shaun Golden, 48, owner of Golden Wealth Management Inc, pleaded guilty to six felony charges last August, including second- and third-degree grand theft, falsifying business records and first-degree scheme to defraud.
State Attorney General Letitia James announced the sentence of one to three years in prison on June 26, describing the case as a “multi-million dollar securities and loan fraud scheme that defrauded dozens of New Yorkers out of nearly $7 million.” .
Since pleading guilty, Golden has reimbursed his victims more than $2.8 million and is willing to reimburse another $3.5 million through the sale of two properties he owns in Vermont.
James said the former investment adviser had targeted schoolteachers and people at or near retirement age between 2015 and 2019.
29 Stags Leap, in Wilmington, has six bedrooms and bathrooms and an estimated price of $3.75 million
The property offers spacious open plan interiors with a cozy stone fireplace and stunning views of the Vermont countryside.
More than 35 victims were interviewed by authorities in their investigation, court records show.
Golden is accused of transferring client investment funds into his own accounts and using them to pay large tax bills and buy luxury properties in Bridgehampton, New York, and Wilmington, Vermont.
The Vermont properties were an existing chalet, estimated to be worth $3.75 million in 2021, and four other pieces of land.
Twenty-nine Stags Leap, in Wilmington, features six bedrooms and baths, spacious open-plan interiors with a cozy stone fireplace, and stunning views of the Vermont countryside.
The six-bedroom Bridgehampton estate, 81 Rose Way, has an estimated value of $8.9 million, boasts a pool, 7 bathrooms, a luxury game room and large surrounding gardens.
Golden’s own home, 42 Nettleton Road in Washington, Connecticut, was put on the market in May for $5.8 million.
The five-bedroom property also includes a pool, game room, and large wine cellar, as well as nearly 25 acres of land.
The former Merrill Lynch adviser then forged documents to obtain large loans to develop the land, which included an existing members-only ski club with back taxes and which owed tens of thousands of dollars in utility bills.
“In 2019, when his victims started making withdrawal requests, he lied to them and told them that their money had been lost due to financial hardship,” the attorney general said.
“Many people lost their life savings and some were forced to sell their assets or adjust their mortgages to stay afloat.
The six-bedroom property in Bridgehampton, 81 Rose Way, has an estimated value of $8.9 million
The luxury estate with pool, 7 bathrooms, a luxury games room and extensive surrounding gardens.
“In addition, some people could not afford advanced medical care or contribute to their grandchildren’s college expenses,” he added.
“His crimes changed lives and harmed vulnerable New Yorkers who had spent decades working to retire with dignity,” he continued.
The June 26 ruling ‘brings this criminal to justice, and my office will continue to ensure that those who defraud New Yorkers face the consequences of their harmful actions.’
Golden began his career in 1995 at VTR Capital Inc, bouncing between investment firms including Sterling Foster & Company Inc. and HJ Meyers & Co, where he typically stayed for less than a year, according to the ID wire.
In 1998, he joined Merrill Lynch for three years before moving to AG Edwards & Sons for five years.
In 2011, he was laid off from his job at Sterne Agee Financial Services, where he had been for less than a year.
Golden is now barred from the securities industry, even for the duration of his post-incarceration probation.
