Podcast Center
Video Center
Webcasts
Resource Center
Events
By 
August 25, 2023 at 02:20 PM
What You Need to Know
- An ex-Wells Fargo and LPL rep was sentenced to 42 months in prison and three years of supervised release for stealing from his clients.
- Mario E. Rivero had pleaded guilty to one count each of wire fraud and securities fraud as part of a plea deal.
- All five of his victims were over 65 years old.
The former broker for Wells Fargo and LPL Financial who pleaded guilty in February to stealing more than $600,000 from five older clients to fund his gambling and personal expenses was sentenced to 42 months in prison earlier this week, according to court documents and Philip R. Sellinger, U.S. Attorney for the District of New Jersey.
The sentence was handed down to Mario E. Rivero Jr., 39, of Elizabeth, New Jersey, in U.S. District Court for the District of New Jersey in Newark by Judge Madeline Cox Arleo. Rivero was also sentenced to three years of supervised release.
Rivero had pleaded guilty to one count each of wire fraud and securities fraud as part of the plea agreement.
In a separate complaint filed by the Securities and Exchange Commission in the same New Jersey court, the SEC had alleged Rivero “fraudulently misappropriated at least $680,000 from investment accounts that he handled, including accounts owned by elderly and/or disabled investors” from about May 2010 to September 2020.
According to documents filed in the criminal case and statements made in court, from April 2018 to November 2020, Rivero, while serving as a broker, misappropriated about $626,500 from five clients who were all over 65 years old.
“Victim-1” was a resident of Irvington, New Jersey, while Victim-2, Victim-3 and Victim-4 were family members and residents of Newark; and Victim-5 was a resident of Hillside, New Jersey or the State of Alabama, according to the information that Sellinger filed against Rivero.
Rivero “purported to provide investment advisor services” to his victims, Sellinger had alleged. That was despite Rivero not being a registered advisor.
The former broker, who had been entrusted to manage client funds responsibly, instead perpetrated a scheme to defraud several clients. He obtained his clients’ money under the fraudulent pretense that he would invest their funds. But Rivero instead unlawfully diverted the funds to enrich himself and others, the Justice Department had charged.
Initially, the Justice Department had filed a complaint against Rivero in March 2022 that charged him with two counts of wire fraud, one count of investment advisor fraud and one count of securities fraud.
