For Immediate Release
Susan Kang Schroeder
MAN FACES CHARGES FOR ROLE IN $150 MILLION INVESTMENT FRAUD IN LARGEST PONZI SCHEME IN ORANGE COUNTY HISTORY
*Defendant is accused of causing $17 million in losses to 80 victims
SANTA ANA – A man surrendered to the court today on a $17 million warrant for his role in a $150 million investment fraud Ponzi scheme, in which at least 80 Orange County victims lost over $21 million. This is the largest Ponzi scheme to be prosecuted in Orange County history.
Adam Jay Boskovich, 43, Laguna Niguel, is charged with 32 felony counts of the use of untrue statements in the purchase or sale of a security with a sentencing enhancement allegation for causing over $100,000 in loss. If convicted, he faces a maximum sentence of 45 years in state prison. Boskovich was charged Oct. 22, 2013, and turned himself in to the court on the warrant today, Oct. 24, 2013. He is out of custody on $1 million bail and is scheduled for a continued arraignment Dec. 20, 2013, at 8:30 a.m. in Department C-57, Central Justice Center, Santa Ana.
Co-defendant Gerard Frank Cellette, 48, formerly of Anoka County, MN, is accused of masterminding and committing the crime without ever entering the State of California. Cellette is charged (Case # 12CF1917) with 116 felony counts including 46 counts of selling unregistered securities, 43 counts of money laundering, and 27 counts of using an untrue statement in the purchase and sale of a security, with sentencing enhancements and allegations for property damage over $3.2 million, money laundering transactions in excess of $2.5 million, aggravated white collar crime over $500,000, and causing over $100,000 loss. If convicted, he faces a maximum sentence of 104 years in state prison.
Cellette is being held on $21 million bail and must prove the money is from a legal and legitimate source before posting bond. He was extradited from Minnesota to Orange County in February 2013 by Investigators from the Orange County District Attorney’s (OCDA) Bureau of Investigation. He is scheduled for a preliminary hearing Oct. 29, 2013, at 8:30 a.m. in Department C-57, Central Justice Center.