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Queens Man Sentenced For Running $31 Million Ponzi Scheme

Manhattan District Attorney Cyrus R. Vance, Jr. (file/credit: STAN HONDA/AFP/Getty Images)

Manhattan District Attorney Cyrus R. Vance, Jr. (file/credit: STAN HONDA/AFP/Getty Images)

NEW YORK (CBSNewYork) – A Queens man has been sentenced for running a Ponzi scheme that cost investors $31 million, Manhattan District Attorney Cyrus Vance announced Wednesday.

Joseph Greenblatt, 50, was sentenced to six to 18 years in prison for the fraud and ordered to pay the full sum in restitution, according to the DA’s office.

The Ponzi scheme was run through Maywood Capital, a real estate investment company. The firm was previously based in Paramus, N.J. before moving to Manhattan.

“Crimes committed in office suites are often as serious as those committed on city streets,” said Vance in a news release. “Ponzi schemes harm individuals who lose their savings, and also hurt the integrity of our financial markets. My Office will continue to seek prison sentences, where appropriate, for defendants who steal from investors.”

Prosecutors said Greenblatt ran the scheme from 1995 to 2004. Many of the investors were retirees living in Florida, according to the DA’s office.

Greenblatt pleaded guilty to grand larceny, securities fraud and other crimes in September.

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