Bloomberg News

Ex-Columbus Hill Finance Chief Gets 54-Month Prison Term

June 06, 2012

David Newmark, former chief financial officer of investment-management firm Columbus Hill Capital Management LP, was sentenced to 54 months in prison for embezzling more than $10.4 million.

Newmark, 39, was sentenced today in federal court in Newark, New Jersey, where he pleaded guilty to wire fraud and tax evasion on Jan. 18. He admitted that he created a phony account to collect deposits that he stole from the Short Hills, New Jersey-based company, and he agreed to forfeit the entire amount that he stole.

Newmark attorney Michael Himmel didn’t immediately return a call seeking comment after the hearing. In an interview after the guilty plea, Himmel said that Newmark, of Towaco, New Jersey, has had a sports-betting gambling problem since high school, and that motivated his theft.

U.S. District Judge William Walls ordered Newmark to pay $10.4 million in restitution. On May 16, Walls signed a preliminary order of forfeiture, court records show. The U.S. has recovered $1.6 million so far, according to a statement today by U.S. Attorney Paul Fishman.

The case is U.S. v. Newmark, 12-cr-36, U.S. District Court, District of New Jersey (Newark).

To contact the reporter on this story: David Voreacos in Newark, New Jersey, at dvoreacos@bloomberg.net

To contact the editor responsible for this story: Michael Hytha at mhytha@bloomberg.net


Later, Baby
LIMITED-TIME OFFER SUBSCRIBE NOW

(enter your email)
(enter up to 5 email addresses, separated by commas)

Max 250 characters

 
blog comments powered by Disqus