GPB Founder Gentile Gets Seven Years for Ponzi-Like Fraud (1)

GPB Capital Holdings LLC founder David Gentilewas sentenced to seven years in prison for a Ponzi-like fraud scheme that put almost $1.6 billion of investor funds at risk.

Gentile, who was convicted by a federal jury in August, was sentenced Friday in Brooklyn, New York. US District Judge Rachel P. Kovner imposed a six-year sentence on co-defendant Jeffry Schneider for his role in the scheme. Prosecutors had sought 15 years for Gentile and 13 years for Schneider.

Gentile and Schneider plotted to mislead investors about the source of money used to pay monthly distributions to investors and about the ...