Man gets 7 years for theft

[Nané]

The 47-year-old stole $14 million from investors to whom he promised a 24% return.

 

By Veronica Rocha

Published: Last Updated Monday, August 3, 2009 10:13 PM PDT

 

LOS ANGELES — A federal judge Monday sentenced a 47-year-old Glendale man to serve 87 months in jail for bilking $14 million from investors during a three-year Ponzi scheme.

 

U.S. District Court Judge Percy Anderson also fined Antoine David Haroutunian more than $850,000, payable immediately. Once Haroutunian is released from prison, he must begin to repay the more than $10 million he swindled from 10 investors, Anderson ruled.

 

“The simple fact is that this defendant is a thief, and in many ways worse than a thief,” Anderson said. “This defendant is a financial predator.”

 

Haroutunian pleaded guilty in March. He admitted that between June 2005 and August 2008 he solicited investors for his Luminous Wealth Management and Luminous Management funds with the promise of a 24% return.

 

According to federal prosecutors, he instead used the money to fund cash payments to himself and his associates in Los Angeles, New York and Armenia.

 

Haroutunian ran advertisements in the Los Angeles Times and on the Internet to get investors.

 

The Internal Revenue Service and FBI officials launched a probe into Haroutunian’s operations when they noticed unusual cash payments.

 

Haroutunian told Anderson in court that he often reflects on the harm he has caused people who trusted him.

 

“I can’t turn back time and I can’t go back in time,” he said. “I beg you not to think of me as a monster, think of me as a person who made terrible mistakes.”

 

For Marilyn Geleris, “terrible mistakes” meant millions lost to Haroutunian’s scheme.

 

Geleris told Anderson during the sentencing hearing that she was going to use that money to pay for retirement and her grandchildren’s college education.

 

“I just hope I have enough money to last throughout my life,” Geleris said.

 

Her son, Andrew Geleris, also spoke out against Haroutunian during the hearing.

 

“Mr. Haroutunian blatantly lied to my mother and my family,” he said.

 

During a conversation recorded by the FBI, Andrew Geleris said that Haroutunian promised on “the heads of his two children” that he wasn’t lying to them about his business affairs.

 

“He is somebody that could look you in the eye and tell you a lie,” Andrew Geleris said.

 

Haroutunian, a former bank employee, has already pleaded guilty in two other fraud cases.

 

He admitted to using his account-access privileges as a Bank of America customer service representative to withdraw unauthorized funds and transfer the money to his own accounts. The bank lost more than $450,000, according to the Department of Justice.

 

In the other case, Haroutunian disclosed that he illegally obtained a $183,345 tax refund based on false filings.

 

He is scheduled to be sentenced in those cases Monday in U.S. District Court.

 

Anderson also ordered Haroutunian to three-years supervised release after prison.

 

“It is likely this defendant will re-offend given the opportunity,” he said.

 

Haroutunian must turn himself in to authorities Aug. 24. In the meantime, he must wear a electronic monitoring device.

 

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Copyright © 2009 - Glendale News Press

[Yervant1]

I hope he rots in hell and becomes someone's B*tch in the prison.

[Arpa]

I hope he rots in hell and becomes someone's B*tch in the prison.

Hopefully there may be enough room in "madoff's"prison cell, who also preyed on his unsuspecting and trusting namesake ilk. After all. Who would suspect that someone with a most sacred name like "harut-iun-ian" is a CROOK?