Virginia Man Gets Nearly 5 Years For Savings Scam
March 12, 2012 by N/A
RICHMOND, Va. (AP) – A Henrico County man has been sentenced to nearly five years in prison for a college savings scam. Fifty-eight-year-old Edward Menster also was ordered Friday in federal court in Richmond to pay nearly $816,000 in restitution to victims.
Court records show Menster operated the College Dream Foundation. He claimed to assist families with financial planning for college and raise more than $1 million over a five-year period through the sale of annuities.
Prosecutors say Menster falsely promised the investments were backed by the Federal Deposit Insurance Corp. Instead, Menster used the money to benefit himself and his business ventures. Menster was earlier convicted of conspiracy to commit wire fraud.
(Copyright 2012 by The Associated Press. All Rights Reserved.)