Yahoo Autos Loles Case Closed
The last of the money stolen by Ponzi schemer and imprisoned sports car racing scumbag Greg Loles has been distributed through bankruptcy.
Loles bilked a Greek Orthodox church in Connecticut and dozens of its members out of nearly $30 million to finance his Farnbacher Loles Racing American Le Mans Series team and other personal extravagances in the late 2000s, but the theft-fueled party ended in 2009. Once the criminal trial reached its conclusion in 2014, the judge handed Loles a 25-year visit to the penitentiary.
In closing the Farnbacher Loles bankruptcy case, a comparatively modest remaining balance of $181,572.67 was parsed out to a variety of legal entities tasked with settling the matter. Law firms and the case’s trustee were awarded $100,962.75 for their handling of the Chapter 7 proceedings, and the last $80,609.92 was given the Connecticut Department of Revenue.
From the original findings in Loles’ criminal case, the U.S. Attorney’s Office for the District of Connecticut outlined his major offenses:
Through this scheme, Loles stole approximately $27 million from more than 50 victims, including approximately $2 million from his church and approximately $14 million from a single family in Greece. Loles also defrauded clients of Farnbacher Loles. Some of the individual investors lost their life savings, and provided Loles with funds that had previously been invested in IRAs or 401(k)s or were proceeds of life insurance payments.
Having burned through the majority of the funds that were stolen, paying restitution to his victims was not part of sentencing for Loles. Although the $181,572.67 left in the account of his former racing team would have benefitted some of those who were robbed, the choice by the court to accept the payment requests from law firms and the state of Connecticut is far from optimal, but not surprising.
As far as the money is concerned, this recent bankruptcy development should close the chapter on a person who U.S. District judge Alvin Thompson deemed “the most sinister defendant I have ever sentenced for this category of crimes.”
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