Linda Livolsi was sentenced to 45 months (3.75 years) in prison, three years of supervised release, and ordered to pay approximately $6.1 million in restitution. Her husband, William Livolsi, was sentenced to two years in prison, three years of supervised release, and ordered to pay approximately $5 million in restitution.
“The defendants used convincing tactics and tempting monetary returns to persuade their victims to part with their money,” said U.S. Attorney Bogden. “If someone offers unusually high returns on an investment, it is likely too good to be true.”
Since about 2003, under the artifice of RGM Enterprises, LLC, Linda Livolsi had been soliciting and inducing persons to give her money for the purpose of investing it in a purported hedge fund that offered large monetary returns. In reality, the hedge fund never existed and the Livolsi’s spent most the money for their personal benefit.
The Livolsi’s fraudulently obtained about $6.5 million in funds from six investors from 2003 to 2007, including approximately $5 million that came from one victim. Linda Livolsi also filed false federal tax returns for the years 2003 to 2006, and failed to file tax returns for 2007 and 2008. Her total tax liability for those years, not including interest and penalties, is approximately $1.1 million.
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