Former Lawyer Pleads Guilty to Wire Fraud in West Palm Beach Federal Court

MIAMI – Craig Sherman, an 80-year-old retired lawyer pleaded guilty yesterday to two counts of federal wire fraud charges in West Palm Beach, Florida.

Sherman admitted that from 2013 through 2020, he defrauded friends and clients through an investment scheme. Sherman was an attorney in Boca Raton, Fla., who also worked as the town attorney for the Town of Bay Harbor Islands, Fla. Sherman solicited friends and clients to invest in real estate projects that were planned or in progress in the Town of Bay Harbor Islands. Sherman indicated that the investors would loan money for construction projects and would be paid between 6% to 8% interest annually for the loan. The principal would be returned later, usually when the construction project was completed. Instead of using the investment money to fund the construction projects–like he claimed he would—Sherman used it to pay for his personal expenses and to try to keep his law firm running. He also used investment money from some investors to cover payments due to other investors. The total fraud is close to $7 million.

The sentencing hearing will be scheduled later. Sherman faces up to 20 years in prison as to each count and will be ordered to pay restitution to the victims.

U.S. Attorney Markenzy Lapointe for the Southern District of Florida and Special Agent in Charge Jeffrey B. Veltri of the FBI, Miami Field Office, announced the guilty plea.

FBI Miami, West Palm Beach Resident Agency investigated the case. Assistant U.S. Attorney Laurence M. Bardfeld is prosecuting it.

Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov under case number 23-cr-80083.

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