Bloomberg – Bret Grebow, co-founder of hedge fund HMC International LLC, was sentenced to four years in prison for defrauding investors out of $7.8 million in what prosecutors said was “a classic Ponzi scheme.”
Grebow, of Highland, Florida, was also ordered to forfeit $7.8 million after pleading guilty last year to investment adviser fraud. U.S. District Judge Barbara Jones in Manhattan imposed the sentence. Grebow, 33, faced a maximum prison sentence of five years.
“He was very remorseful,” defense attorney Vincent Gelardi said in an interview after today’s sentencing. “He was young at the time. He lost control of the situation.”