Thursday, July 30, 2015


Michael Szafranski, a financial adviser who conspired with convicted attorney/master Ponzi schemer Scott Rothstein, in a billion dollar bogus investment scam, has entered a guilty plea to wire fraud conspiracy. He is slated to receive a maximum five year sentence and $250,000 fine, but he could receive a short sentence for cooperating with the prosecution. We have previously detailed his case on this blog.

Szafranski's listed October 21sentencing has been set after the scheduled October 5 trial of former TD Bank Regional Vice President Frank Spinosa, and his testimony against Spinosa could earn him a Government motion for Substantial Assistance, which generally results in a much shorter sentence than the US Sentencing Guidelines calculation offers in his case.

TD Bank, which has been in the news in other cases lately, allegedly facilitated Rothstein's long-running Ponzi scheme, and Spinosa has been accused of being the central player in the bank. Only one other defendant actually has gone to trial in the massive Ponzi scheme fraud, and her verdict was affirmed on appeal. You can assume that the US Attorney's Office has a long list of previously convicted potential witnesses against Spinosa, all of whom are presently serving Federal time, and would jump at the opportunity to reduce their sentences. Szafranski is but one of those who could offer first-hand knowledge of Spinosa's alleged crimes. The trial could expose the role of other TD Bank executives who have heretofore not been named in public documents. 

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