2 Long Island Men Among Trio Charged in $5M Investment Scam: DA

Photo: (l-r) Kenneth Martino, Timothy Mueller and Jared Widman

Three men, including two from Long Island, face charges in connection to a multimillion dollar investment scam, Suffolk County District Attorney Thomas Spota announced Tuesday.

According to the DA, Kenneth Martino, 52, of Huntington, Timothy Mueller, 54, of Greenport, and Jared Widman, 32, of Harvey’s Lake, Penn., devised a scheme claiming they created the next big social media platform that was already sponsored by the office supply company Staples and the social media business Myspace.

All three men were were indicted Tuesday on multiple charges of first-degree, second-degree and third-degree grand larceny and two counts of first-degree scheme to defraud.

“By using high pressure sales tactics, including claims that ‘short term funding’ was desperately needed to complete the project or it would fall apart, these defendants were successful in pressuring their victims into giving in excess of $5 million dollars,” Spota said in a press release.

The investors’ money the men claimed went toward business-related expenses instead went into their own pockets, the DA said. They allegedly used the $5 million in investment money to pay for luxury vehicles, golf club fees, tickets for sports events, gambling expenses and credit card bills. It was also discovered the men had no business relationship with Staples and Myspace, the DA said.

Mueller and Widman were arraigned Tuesday. Mueller pleaded not guilty to first-degree grand larceny, five counts of second-degree grand larceny, three counts of third-degree grand larceny and two charges of first-degree scheme to defraud. Mueller’s bail was set for $250,000 cash or $750,000 bond.

Widman pleaded not guilty to first-degree grand larceny, eight counts of second-degree grand larceny, four counts of third-degree grand larceny and two charges of first-degree scheme to defraud. His bail was set at $250,000 cash or $750,000 bond.

Martino will be arraigned Wednesday in Central Islip.

Images via SCDA