New York firm founder pleads guilty to $23 million fraud
A New York woman who founded two firms pleaded guilty on Friday to defrauding investors, including friends and family members, out of more than $23 million by lying about her rates of return in order to cover up her growing trading losses.
Haena Park, who established Phaetra Capital Management LP and Argenta Group LLC, entered her plea in Manhattan federal court to one count of commodities fraud, admitting that she lied to her more than 40 investors.
"I am deeply ashamed and remorseful," she said in court.
The 41-year-old Manhattan resident faces up to 10 years in prison when she is sentenced by U.S. District Judge Ronnie Abrams on April 28. As part of a plea deal, she agreed to forfeit nearly $23.2 million.
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