Former Morgan Stanley employee to be jailed for up to six years

21 January 2010

A former executive at investment bank Morgan Stanley has been jailed for six years after being found guilty of embezzling more than $2.5 million from the company.

Richard Garaventa Jr received the sentence from New York State Supreme Court Justice Gregory Carro over charges of grand
larcency and falsifying account details.

The banker used the stolen money to fund a lavish lifestyle including paying for jewelry, restaurant bills, luxury vehicles and flights.

He was found by the court to have written 50 checks between 2001 and 2008 ranging from $8,670 to $74,812 in value.

Mr Garaventa Jr is then thought to have deposited the funds into an account under the name of NY Transfer Corp, which he controlled.

He said: “I’d just like to take the opportunity to apologize to the firm I worked for. Unfortunately, I let you all down. I should have known better,” Bloomberg reported.

Morgan Stanley fired the employee in January 2009.

As part of the sentence, the former banker was forced to give up two bank accounts, his home and a pair of cars worth more than $60,000.

By Jim Ottewill

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