Legal Justice
Lawyer sentenced to 12 months in jail after conviction in $20M financial institution fraud trial
A New York compliance lawyer was sentenced Tuesday to 12 months and a day in jail for his function in a fraudulent scheme to steal $20 million from an Emigrant Financial institution unit. (Picture from Shutterstock)
A New York compliance lawyer was sentenced Tuesday to 12 months and a day in jail for his function in a fraudulent scheme to steal $20 million from an Emigrant Financial institution unit.
Senior U.S. District Choose Lorna Schofield of the Southern District of New York additionally ordered lawyer John Arthur Hanratty to forfeit practically $18 million for an alleged yearslong scheme of deception to maintain his tax lien funding firm, Ebury Road Capital, afloat, in line with a story by Law360.
In August 2025, Hanratty was convicted by a jury of wire fraud, financial institution fraud and cash laundering. Hanratty, the previous chief compliance officer of broker-dealer OTA, allegedly satisfied Emigrant Financial institution subsidiary Emigrant Enterprise Credit score Corp. to lend his enterprise $20 million by falsely claiming to own thousands and thousands of {dollars} of tax lien collateral.
The sentencing listening to occurred in federal courtroom in Manhattan in New York Metropolis.
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