Chief In $800M Fraud Sentenced To 20 Years In Prison
MIAMI (CBSMiami/AP) — The man said to be the mastermind of one of the largest fraud schemes in Florida was sentenced Friday.
A judge sentenced Joel Steinger to 20 years in federal prison for his connection to the more than $800 million insurance scam.
Steinger is the former chief of Fort Lauderdale-based Mutual Benefits Corp. Steinger pleaded guilty in March to mail and wire fraud conspiracy charges. Steinger's lawyer had sought a more lenient penalty.
Prosecutors said Mutual Benefits was a massive fraud scheme in which investors lost about $830 million between 1994 and 2004. There were about 30,000 victims around the world.
The now-defunct company bought life insurance policies from people with AIDS, cancer and other chronic illnesses and sold them to investors. Prosecutors say the numbers were manipulated and investors misled.
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