San Rafael Biotech Firm's Former CEO Convicted Of Fraud, Money Laundering
SAN FRANCISCO (CBS SF) -- The former chief executive officer of a medical device company in San Rafael has been convicted in federal court in San Francisco on wire fraud and money laundering charges in connection with a scheme to defraud his company.
Lawrence Gerrans, 49, of San Anselmo, the former president and CEO of Sanovas, was found guilty Wednesday after a two-week jury trial of five counts of wire fraud, three counts of lying to the FBI and one count of money laundering.
Gerrans was additionally convicted of contempt of court, witness tampering and obstruction of justice for engaging in prohibited communication with a witness after he was initially indicted in 2018.
U.S. Attorney's Office spokesman Robin Wall said evidence at the trial showed that in 2015, Gerrans systematically transferred more than $2.6 million from Sanovas to himself and two shell companies he controlled and then used the money to buy a $2.57 million home in San Anselmo.
Gerrans will be sentenced by U.S. District Judge Edward Chen on May 20. The charges each carry potential maximum prison terms ranging from five to 20 years.
Defense attorney Brian Getz said no decision has been made on a possible appeal.
"All options are open," Getz said.
U.S. Attorney David Anderson said in a statement, "The defendant siphoned millions of dollars from the medical device company he was entrusted to run, and then tried to cover up that crime."
