Teen Turns Over $900,000 to Court
A Mission Viejo teenager accused of running a fraudulent investing scheme relinquished almost $900,000 to federal authorities Friday.
As part of a settlement with securities regulators, Cole A. Bartiromo transferred the money from a Costa Rican casino to an account controlled by the U.S. District Court in New York.
The money is expected to remain under court control until the case is resolved, at which point regulators typically ask the court to set up a distribution plan to return the cash to aggrieved investors.
A Securities and Exchange Commission spokesman confirmed the money transfer, but declined to provide further details.
The 17-year-old originally was supposed to wire the money by Wednesday, but the transaction was delayed when the unnamed casino required additional paperwork.
Bartiromo is accused of masterminding an Internet fraud operation that swindled more than $1 million from at least 1,000 investors worldwide. Bartiromo had promised investors “guaranteed” profits that he claimed to be making by betting on sporting events.
In a preliminary settlement approved Monday, the court gave Bartiromo 48 hours to repatriate the money from Costa Rica. It also gave the youth 20 days to provide a complete accounting of his operation, including details of any U.S. accounts.
Bartiromo’s attorney could not be reached Friday for comment.
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