Former Fidelity Advisor Indicted for $2 Million Fraud Targeting Former Client
From the desk of Jim Eccleston at Eccleston Law
Federal prosecutors have charged former Fidelity Investments advisor Eric James Stone with 10 counts of wire and mail fraud and five counts of money laundering, accusing him of orchestrating a $2 million scheme that exploited a former client for personal gain.
As reported by ThinkAdvisor, Stone is accused of defrauding a former Fidelity client through a prolonged pattern of deception that continued even after his employment with the firm ended. The alleged misconduct included soliciting personal loans under pretenses, fabricating communications, including bogus attorney communications, and leveraging digital payment methods to conceal and facilitate the fraud.
Stone worked for Fidelity in Jacksonville, Florida, from 2007 until June 2021. Fidelity terminated him after discovering that he had solicited personal loans from clients. ThinkAdvisor reports that such conduct led to a bar by the Financial Industry Regulatory Authority (FINRA) in 2023. According to prosecutors, Stone’s misconduct escalated after his termination.
Prosecutors say Stone directed the victim to transfer funds through various channels, including wire transfers, checks, Zelle, and cash deposits into Bitcoin ATMs. He also sent cryptocurrency wallet addresses and QR codes to solicit Bitcoin payments. In total, Stone allegedly induced at least 613 financial transactions totaling over $2 million, which he used to support gambling, personal travel, and to pay off debts.
Eccleston Law LLC represents investors and financial advisors nationwide in securities, employment, transition, regulatory, and disciplinary matters.
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