Wethersfield Man Pleads Guilty in Investment Fraud Case

WETHERSFIELD, CT — A local man has admitted to operating an investment scheme that ripped clients off to the tune of more than $800,000, a leading prosecutor said.

United States Attorney for the District of Connecticut Deirdre M. Daly, announced on Wednesday that Anthony Sciarra, 53, of Wethersfield, formerly of Marlborough, waived his right to be indicted and entered a guilty plea before U.S. District Judge Michael P. Shea in Hartford to one count of wire fraud stemming from an investment scheme that defrauded individuals and couples of more than $874,000.

According to court documents and statements made in court, from 2001 until May 2012, Sciarra operated AGS Financial, through which he offered insurance, securities and other financial products.

Around May 2012, the Connecticut Department of Insurance revoked Sciarra’s insurance license, according to court documents.

Between approximately 2007 and July 2015, Sciarra represented himself as a bona fide insurance agent and financial adviser when, in fact, he was not, Daly said.

Through AGS Financial, and later through an entity he described as “Westport Enterprises,” Sciarra solicited investments from various victim-investors with promises of high annual investment returns ranging from 4 percent to 12 percent or more, Daly said.

Sciarra falsely represented to investors that he would invest their funds in a bond fund and/or a cigarette distribution business, Daly said. Instead of investing any of the money as promised, he diverted funds for his personal use, including to pay for restaurant meals and department store purchases, and to pay loans and other personal bills, Daly said.

The investigation revealed that Sciarra also made large cash withdrawals from ATMs and at Foxwoods Resort Casino, Daly said.

Sciarra also used some of the funds to make “interest” payments to other victim-investors, she said.

During the scheme, Sciarra made false statements to certain victim-investors, both in person and by e-mail, in an attempt to explain the various delays in the purported interest payments, according to Daly. In addition to telling victim-investors that their funds had been invested as represented, Sciarra sought to prevent the discovery of the scheme by issuing partial payments to the victim-investors as a partial return of the principal and monies that were then due, Daly said.

Eventually, the payments stopped and the scheme was discovered, she said.

Through the scheme, Sciarra defrauded at least 12 victim-investors of approximately $874,000, Daly said.

Judge Shea scheduled sentencing for April 26. Sciarra faces a maximum term of imprisonment of 20 years, she said. He is released on a $100,000 bond, pending sentencing. she said.

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