A Rye resident is facing up to 20 years in prison after pleading guilty to wire fraud in federal court in Connecticut last week.
According to the U.S. Attorney”™s office, Charles Principato, of Purchase Street, solicited investments for his marketing company, Prince Direct Inc., and instead used the $1.3 million he received from victims for his own benefit, including home improvements, gambling and vacations. In a plea agreement filed June 23, Principato agreed to pay $1,849,985 in restitution and admitted guilt to a single count of wire fraud.
Stuart Kaplan, Principato’s Palm Beach Gardens, Fla.-based attorney, said the Rye resident had long-standing business relationships with the victims, who had previously invested in his business. When the economy turned sour, Kaplan said, Principato sought further funds from the victims that he then used for his own purposes.
“Mr. Principato stepped up and accepted full responsibility for his actions. He”™s extremely remorseful,” Kaplan said. “He has agreed to repay the investors when he can.”
Principato”™s profile on the business networking website LinkedIn says that with Prince Direct, he is a “passionate and entrepreneurial Direct Marketing (sic) expert with a demonstrated record of increasing revenue streams by various direct marketing strategies.”
Chief Judge Janet C. Hall scheduled Principato”™s sentencing for Oct. 7. Principato is free on $250,000 bail.
