Port St. Lucie Securities Broker Charged in Wire Fraud Embezzlement Scheme
|U.S. Attorney’s Office August 08, 2013|
Wifredo A. Ferrer, United States Attorney for the Southern District of Florida; Michael B. Steinbach, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office; and Addy Villanueva, Special Agent in Charge, Florida Department of Law Enforcement (FDLE), announce the indictment of Paul Elvidge, Jr., 53, of Port St. Lucie, for embezzling more than $1,000,000 from client investment accounts while acting as a securities broker for Cape Securities, Inc. and Seacoast Investor Services, Inc.
The indictment charges Elvidge, Jr. with 36 counts of wire fraud and six counts of aggravated identity theft. Elvidge, Jr. had a first appearance in federal court in Fort Pierce on August 8, 2013 before U.S. Magistrate Judge Frank Lynch, Jr. If convicted, he faces a maximum statutory sentence of up to 20 years in prison on each of the wire fraud counts and a consecutive penalty of two years on the aggravated identity theft counts.
According to the indictment, Elvidge, Jr. managed and operated Seacoast Investor Services, Inc., which later became Cape Securities, Inc., as a brokerage and investment firm in Port St. Lucie. As a registered representative and investment advisor, Elvidge, Jr. had access to clients’ brokerage accounts and was able to direct wire transfers from these brokerage accounts. From July 2010 to October 2012, Elvidge, Jr. embezzled approximately $1,113,594 from client accounts by preparing fraudulent forms and forging account holders’ signatures. Elvidge, Jr. used the fraudulently obtained monies to pay for personal and business expenses and to fund his personal day-trading activities.
Mr. Ferrer commended the investigative efforts of the FBI and FDLE. This case is being prosecuted by Assistant U.S. Attorney Shaniek Maynard.
An indictment is only an accusation and the defendant is presumed innocent until proven guilty.