Former Security Attorney Admits Guilt In Investor Scheme

SANTA CLARA COUNTY, CA – A judge in San Jose on Wednesday accepted the guilty plea of a former Belvedere resident who was charged with securities fraud, federal prosecutors said.

Disbarred securities attorney James Seltzer, 67, was indicted by a federal grand jury on June 18, 2015, according to prosecutors. He was charged with five counts of securities fraud, one count of mail fraud and three counts of money laundering.

In his plea, Seltzer admitted to one count of securities fraud and the remaining counts against him were dismissed, according to prosecutors.

According to Seltzer's plea, he defrauded and deceived multiple persons beginning no later than the fall of 2007 through the spring of 2011.

Seltzer admitted that he misrepresented to investors that he was going to use their money for only their benefit. But in many cases he used all or virtually all of the money for his own personal and business expenses.

Seltzer admitted that he defrauded more than 10 people with losses totaling more than $2.5 million.

The maximum prison term for securities fraud is 20 years.

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