Disbarred Hillsborough Attorney Admits To Ponzi-Like Wire Fraud Scheme

HILLSBOROUGH, NJ — A disbarred attorney from Hillsborough admitted on Wednesday to a wire fraud scheme that caused more than $1 million in losses to clients, U.S. Attorney Philip R. Sellinger announced.

Lawrence Coven, 61, of Hillsborough, pleaded guilty in federal court to an information charging him with one count of wire fraud.

Coven owned Sunrise Enterprises LLC, which purported to provide financial services to investors.

In reality, Coven convinced investors to send him funds by falsely claiming he would invest their money through Sunrise in exchange for large profits, according to documents filed in this case and statements made in court.

He falsely guaranteed investors returns between 10 to 15 percent on their investments and told investors that their investments were risk-free, according to the release.

Instead of investing the money, Coven used investor funds for personal expenses, including utilities, entertainment, real estate, credit card bills, and cash withdrawals, said authorities.

When investors began asking questions, Coven gave them with false assurances that their money was safe and used money from existing investors to make payments to other investors in a Ponzi-like fashion, said authorities.

Coven faces a maximum penalty of 20 years in prison and a maximum fine of $250,000 or twice the gross gain to Coven or loss to the victim, whichever is greatest for the wire fraud charge.

Sentencing is scheduled for Feb. 13, 2025.

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