Printing Firm Owner Defrauded Investors
Posted on Thursday, 19 of November , 2009 at 7:46 pm
QUEENS—The chief executive officer of a printing company located in Long Island City has admitted to defrauding two men of the $145,000 that they had invested in his company.
Peter Saad, 62, of 56 Bamberger Lane in Staten Island, who has been free on $35,000 bail since his arrest this past June, appeared Wednesday before Acting Queens Supreme Court Justice Joseph A. Grosso and pleaded guilty to second-degree grand larceny and agreed to repay $145,000 to his victims.
Justice Grosso set sentencing for Jan. 19 at which time he indicated that he would likely sentence the defendant to five years’ probation.
Prosecutors said Saad admitted that, beginning in April 2004, he told an acquaintance, Joseph Shammas, about a printing business he was operating called Project 912, located at 42-26 13th St., in Long Island City, and made several false statements to him in order to induce him to invest. Among the false statements Saad made was that he had millions of dollars in London that would eventually be liquidated and available to insure the investment. Also, Saad claimed to have the ability to easily get a lucrative job on Wall Street if necessary. He said the investment would be used to purchase a printing machine that would increase the capacity of the firm.
As a result, Saad convinced Shammas to invest $150,000 and an acquaintance of his, Charles Chiarelli, to invest $100,000. Saad told the two men that the investments were guaranteed.
The business, however, was no longer solvent within a year of the initial investment and, believing that they were misled, Shammas and Chiarelli asked for the return of their investment.
Saad eventually admitted that he had no money in London, could not get a Wall Street job and did not use their investments for a printing machine. Shammas was eventually able to recoup $75,000 of his investment and Chiarelli was able to get back $30,000. 11-19-09
Category: Business, Consumers, Courts, Crime
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