A New York man withheld some important details while making financial promises to investors in North Carolina, according to federal officials.
While allegedly scamming North Carolina residents out of hundreds of thousands of dollars, Rudolph Carryl was being tried and eventually found guilty of investment fraud in New York, the Justice Department said in a press release. He was indicted in Charlotte for securities fraud, wire fraud and money laundering, the release said.
Officials said Carryl, 67, of Oyster Bay, operated a New York investment firm called Carryl Capital Management that claimed it “adhered to rigorous risk control measures, and was dedicated to achieving the investment goals for its clients.”
One victim was said to be a childhood friend of Carryl’s, listed as “M.G.,” who in early 2015 wired $64,000 to an account he controlled “based on Carryl’s misrepresentations that M.G.’s money would be used to purchase stocks on M.G.’s behalf,” the release said.
But “rather than purchasing any stock as promised, Carryl used much of the victim’s money on personal and other unrelated expenses, and withdrew a substantial amount of it in cash,” the release said.
In May 2015, Carryl “claimed that he was a successful investment adviser who managed investments for the country of Saudi Arabia and that he was friends with wealthy celebrities” to persuade an Air Force veteran and his wife in North Carolina to invest about $350,000, officials said. Again, Carryl used much of that money for personal purposes, the release said.
Officials say Carryl led the victims on for months, and never told them when he became the focus of a federal investigation in which he was charged and pleaded guilty to wire fraud in New York.
Carryl continued to assure the North Carolina couple that their investments were in good standing even after his Aug. 9, 2017, sentencing in New York, and up to the time he was imprisoned, the release said.