Ashburn man heading to prison after duping clients out of $4M

04.05.2025    WTOP    9 views
Ashburn man heading to prison after duping clients out of $4M

An Ashburn Virginia financial scammer was sentenced Thursday to three years in prison for fraud after federal prosecutors say he duped clients out of millions of dollars In addition to his prison time Andrew Corbman must pay million in restitution According to the U S Attorney s Office Corbman worked for several years with two individuals and two couples who loaned him money believing he would invest the funds and earn major returns The clients were unaware however that Corbman in was suspended and permanently barred by the Financial Industry Regulatory Authority from acting as a financial advisor He had also filed for bankruptcy in Through false contends of investing success Corbman induced his Clients to loan him up to million promising to invest or continue investing the money in stock arena options trading the U S Attorney s Office announced in a news release Corbman promised to repay the loans at high rates of return as much as a annual interest rate plus a share of his own trading profits According to court documents Corbman was affiliated with a national estate planning company through which he obtained access to individuals interested in estate planning and setting up trust vehicles Prosecutors noted Corbman offered financial advice to clients and promising clients including assisting them with long-term financial planning such as trusts annuities and life insurance Corbman suggested the clients could improve their stake returns if they loaned him money or rolled over existing loans they had made to him The Ashburn resident misrepresented his past trading performance to induce the clients to invest or to reinvest what he owed them when the loans came due in the form of a new loan prosecutors mentioned Corbman provided at least two of his feasible clients a document he claimed displayed his expenditure results In late and early when Corbman s creditors demanded repayment of their expired loans agreements Corbman indicated to his clients that he was unable to repay the loans due to unanticipated trading losses according to prosecutors Corbman ultimately filed for bankruptcy seeking to discharge over million in losses he had inflicted on his clients As a effect of Corbman s scheme at least one victim incurred substantial financial hardship including having to mortgage a home postpone retirement and seek employment at an advanced age the release stated Source

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