The allegations stem from his work at a co-founded startup insurance company.
Lev Parnes, a former associate of Rudy Giuliani who was previously convicted of campaign financing, pleaded guilty Friday to conspiracy to commit wire fraud while working for a startup insurance company he co-founded.
Federal prosecutors have charged 50-year-old Parnas with defrauding investors in a fraudulent guarantee, a company he founded in Florida with co-defendant David Correa, who pleaded guilty earlier.
Parnas appeared via video in front of U.S. District Judge Paul Otken in Manhattan, saying “between 2012 and 2019, I agreed with another person to provide false information to potential investors.”
“I am very sorry for my actions, Your Honor,” Parnas said.
According to federal prosecutors, Parnassus and Korea tried to lure potential investors into guaranteeing fraud by hiring Giuliani as a pitchman. Giuliani says he was paid ,000 500,000.
Parnas briefly became a man in the first congressional impeachment investigation against former President Donald Trump for his role in aiding and abetting Giuliani in an attempt to uncover abusive information about President Joe Biden and his family in Ukraine, as well as calling for his ouster. – US Ambassador to Ukraine Marie Ivanovich.
At least seven victims have invested a total of more than $ 2 million in fraudulent guarantees since Parnassus and Korea confused about their financial arrangements. Most of the investor funds were withdrawn as cash and were spent on personal expenses, such as rent for Parnas, prosecutors said.
Assistant U.S. Attorney Nicholas Rouss said, “The various presentations he made to investors were material to raise funds.”
Parnas had previously been convicted in six other cases. He faces up to five years in prison if convicted on June 29 for conspiracy to commit wire fraud.
“Of course the government will demand compensation and confiscation,” Rousseff said.