Eduardo Galan, 63, Brockport, New York, has been indicted and charged with mail fraud and bankruptcy fraud.
Galan allegedly promised to invest $75,000 for a client in a private mortgage loan through his business, S&G Unlimited Services. In fact, the defendant spent the money for his own benefit to repay creditors and on other expenses.
After the client obtained a civil judgment against Galan and S&G Unlimited Services, the defendant misused his Chapter 7 bankruptcy proceeding to try to obtain a discharge for the debt, falsely characterizing the debt as a personal loan.
The charges carry a maximum sentence 20 years in prison, a fine of $250,000, or both.
U.S. Attorney William J. Hochul, Jr. announced the charges. Assistant U.S. Attorney John J. Field is handling the case.
This indictment is the culmination of an investigation by special agents of the Federal Bureau of Investigation, under the direction of Special Agent in Charge Brian P. Boetig.