Alexandria Man Sentenced for $2.3 Million Investment Fraud
ALEXANDRIA, Va. – An Alexandria man was sentenced today to three years in prison for running multiple scams that defrauded investors of over $2.3 million.
According to court documents, Gregg Seitz, 50, recruited investors to invest in a purported real estate opportunities. Investors were told that Seitz and others were involved in purchasing, renovating and reselling distressed real estate for pennies on the dollar, and that the investors’ money would be used to help purchase and “flip” the real estate. Seitz claimed to have experience with large real estate deals and to be earning large returns on his own money from these investments. Later, Seitz found additional investors, who asked to loan money to finance a purported software company, which investors were falsely told had a lucrative contract with U.S. Department of Homeland Security. In fact, there were no real estate deals and there was no lucrative contract with the Department of Homeland Security. Rather, Seitz used new investor money to pay back old investors and finance his own lifestyle. For example, Seitz spent some of the money on luxury cars, mortgage payments on a townhouse in Alexandria, a wine business, travel to Mexico, Italy and the Caribbean, and purchases from high-end retailers. The total loss to investors was over $2.3 million.
In addition to his prison sentence, Seitz was also ordered to forfeit $2.3 million and pay $2.3 million in restitution to his victims.
Dana J. Boente, U.S. Attorney for the Eastern District of Virginia, and Andrew W. Vale, Assistant Director in Charge of the FBI’s Washington Field Office, made the announcement after sentencing by U.S. District Judge Claude M. Hilton. Assistant U.S. Attorney Katherine L. Wong prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information is located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:16-cr-98.