Jersey City financial advisor sentenced to 27 months for defrauding clients out of $450k

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A Jersey City financial advisor was sentenced to 27 months in prison for defrauding clients out of $450,000, Acting U.S. Attorney Rachel Honig announced.

By John Heinis/Hudson County View

Ramon Herrera, 37, of Jersey City, previously pleaded guilty before U.S. District Judge Katharine S. Hayden to an information charging him with one count of wire fraud. Judge Hayden imposed the sentence in Newark federal court on Thursday.

Between May 2015 and January 2018, Herrera used his position as a registered broker and financial advisor at a clearing services company associated with “Financial Institution-1” to meet and learn confidential information about Financial Institution-1 customers in the Hudson County area, for whom he was ostensibly providing advice and brokerage services.

Herrera caused the Financial Institution-1 customers he was advising, many of whom were elderly or communicated with Herrera in Spanish, to sign blank withdrawal slips, which Herrera then completed and presented to bank tellers at Financial Institution-1 branches.

Herrera directed the bank tellers to withdraw the money from the customers’ accounts in the form of cashier’s checks, which enabled Herrera to then apply the checks against the various personal accounts that Herrera and a family member maintained at Financial Institution-1.

Herrera stole more than $450,000 from approximately 40 Financial Instiution-1 customers for his own purposes without their knowledge or authorization.

In addition to the prison term, Hayden sentenced Herrera to three years of supervised release.

Honig credited special agents of the FBI, under the direction of Special Agent in Charge George M. Crouch Jr. in Newark, with the investigation leading to the sentencing.