Rate Gap Could Narrow As Result Of Recent Lawsuit Settlements
By Mike Robinson, Associated Press Writer
Mercury Finance Chief Gets 10 Years in $2 Billion Collapse CHICAGO (AP) -- The chief executive officer of the Mercury Finance Co., the collapse of which cost investors $2 billion a decade ago, was sentenced Wednesday to 10 years in prison for wire fraud and lying to a bank.
John Brincat, 70, who admitted he lied to disguise the company's steep losses, also was ordered by U.S. District Judge Rebecca R. Pallmeyer to undergo treatment for alcohol and gambling problems.
Pallmeyer ordered no fine, so that any money recovered from Brincat can be used to pay restitution to investors who lost money.
Pallmeyer left the restitution order open for 90 days to allow victims to present proof of their losses. Prosecutors said such information should be submitted as soon as possible to the victim and witness section of the U.S. attorney's office.
Pallmeyer said she would take up the restitution issue at a hearing set for 9 a.m. on June 20.
Brincat was ordered to start serving his sentence Sept. 10.
Source: http://biz.yahoo.com/ap/070523/mercury_finance.html?.v=1
|
