Adviser Gets 3+ Years Prison In Rothstein $1.2B Ponzi Scheme
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FORT LAUDERDALE (CBSMiami/AP) — A 71-year-old adviser to a major investor in the $1.2 billion Ponzi scheme operated by Scott Rothstein is going to federal prison for more than three years.
U.S. District Judge James Cohn imposed the 42-month sentence Friday on Frank Preve, who pleaded guilty to wire fraud conspiracy. Preve's attorney is asking for home confinement and probation, citing his extensive cooperation and serious health issues.
Preve worked with the Banyon Group, which invested in Rothstein's supposedly confidential but bogus legal settlements. Court documents say Preve failed to inform the investors about problems with Rothstein's operation before its 2009 collapse.
Preve's lawyer says he was unaware the settlements were phony.
More than two dozen people have been convicted in the Rothstein case. Rothstein is serving a 50-year prison term.
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