Former National Planning Corp. FA Pleads Guilty to Wire Fraud

By on March 4, 2019

From Financial Advisor IQ:  A former financial advisor in St. Louis has pled guilty to wire fraud charges in connection with investments in a construction business that has since been liquidated, according to news reports.

William Glaser allegedly solicited over $1 million from three of his former clients for a St. Louis construction company owned by Paul Creager that has since been liquidated, the St. Louis Business Journal writes citing the U.S. Attorney’s Office for the Eastern District of Missouri. Glaser allegedly misled clients by lying to them that he had invested in Creager’s company as well, and didn’t disclose the fact that he was receiving commissions out of his clients’ investments, according to the publication.

Glaser also allegedly helped establish self-directed individual retirement accounts for his clients so that he could liquidate their investments and put the proceeds toward Creager’s company, the St. Louis Business Journal writes.

For his part, Creager then put the clients’ portfolios into high-yield unsecured promissory notes, on which no payments were ever made, according to the publication. Creager received a five-year prison sentence last year for defrauding investors, the St. Louis Business Journal writes.

Glaser, meanwhile, faces up to a decade in prison and fines of up to $250,000, as well as mandatory restitution to affected investors, according to the publication.

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