Jersey City man pleads guilty to stealing from investors in $1 million fraud

News - Jersey City
Written by Karen DeMarco
Tuesday, June 23, 2009 11:46 am
http://everythinghudson.com

JERSEY CITY, N.J. - New Jersey State Attorney General Anne Milgram announced that a Jersey City man pleaded guilty on Monday to charges related to his theft of approximately $1 million from victims he fraudulently convinced to invest in a garment and textile business that was not in operation.

According to Criminal Justice Director Deborah L. Gramiccioni, Radjinder Sewnath, 49, of Jersey City, pleaded guilty to an accusation charging him with theft by deception and money laundering, both in the second degree, before Superior Court Judge Michael L. Ravin in Hudson County.

Under the plea agreement, the state will recommend that Sewnath be sentenced to seven years in state prison. He also must pay full restitution to his victims under a consent order filed yesterday.

Judge Ravin scheduled Sewnath to be sentenced on August 7.

"This defendant stole $1 million from investors by claiming his dormant company was really a thriving business," said Attorney General Milgram. "We are working to protect New Jersey investors through prosecutions such as this one."

Sewnath admitted that between November 2005 and December 2008, he deceived at least five victims into investing in his company, Uni-Global Trading, Inc., in Jersey City. The victims included the owners of two Jersey City check cashing businesses.

An investigation by the Division of Criminal Justice revealed Sewnath stole approximately $1 million from the investors.

Sewnath claimed that Uni-Global Trading was an active business that bought and resold garments and distressed textiles. In reality, the business was not operating at the time.

At the plea hearing, Sewnath admitted that, instead of investing the victims' money in the business for their benefit, he deposited it into his bank account and used it for his personal expenses.

Detective Martin Farrell and Deputy Attorney General Francine Ehrenberg were assigned to the investigation for the Division of Criminal Justice Major Crimes Bureau. Deputy Attorney General Ehrenberg represented the state at the plea hearing.