NEWARK, N.J. (AP) — Federal prosecutors in New Jersey say a Nevada man who defrauded investors out of more than $5 million has been sentenced to nearly seven years in prison.
Lee Vaccaro received a 78-month sentence Tuesday. The Las Vegas man had pleaded guilty last June to securities fraud and conspiracy charges.
Prosecutors say the 45-year-old Vaccaro and another person sold investors interests in companies they controlled. They say the pair falsely told investors that the companies held warrants in a California-based company that develops mobile security products.
Warrants are derivative securities that give the holder the right to purchase common stock at a specific price within a certain time frame.
Vaccaro also admitted that he and the other person made misrepresentations about the existence, number, validity, and term of the warrants.