Temporarily off the MLS, but the feds should have it back on the market on the not-so-distant future. "Hold my Beer — who says Haitians and Somalis have anything over us Old Greenwich residents?”
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14 Highview Avenue has been pulled from the market, for now.
The zebra and,Mr. Giraffe! if the marshalls leave them, this one won’t last.
Old Greenwich Investment Advisor Pleads Guilty to Tax Evasion
David X. Sullivan, United States Attorney for the District of Connecticut, Thomas Demeo, Acting Special Agent in Charge of IRS Criminal Investigation in New England, and P.J. O’Brien, Special Agent in Charge of the New Haven Division of the Federal Bureau of Investigation, today announced that JEFFREY ARSENAULT, 63, of Greenwich, waived his right to be indicted and pleaded guilty yesterday before U.S. District Judge Victor A. Bolden in New Haven to tax evasion.
According to court documents and statements made in court, Arsenault was the managing member and majority owner of Old Greenwich Capital Advisors LLC (“OGCA”), which is the investment manager of Old Greenwich Capital Partners LP (“OGCP”), a private equity fund of funds. From 2013 through 2022, OGCP received investment distributions of at least $9.1 million, which should have been distributed to OGCP investors, reinvested, or used to pay authorized expenses. Instead, Arsenault used approximately $5.2 million of the total to pay his personal expenses or other unauthorized expenses, including payments for college tuition and golf club dues.
From 2019 through 2022, Arsenault, through OGCA, also received approximately $2.2 million in net income for performing consulting services for third party investment firms. Although he knew that he was entitled to only 70 percent of the net income based on his OGCA partnership agreement, he kept all of it and used that money for his personal expenses.
From 2013 to 2016, Arsenault failed to report the proceeds from his embezzlement scheme on his individual federal income tax returns, resulting in income tax due and owing of approximately $1,160,161. From 2017 through 2022, Arsenault failed to file any individual tax returns, resulting in total tax due and owing of approximately $1,002,709.
As part of his embezzlement and tax evasion scheme, from 2017 to 2020, Arsenault booked false intercompany loans between OGCA and OGCP to conceal his misappropriation of investor funds, which caused OGCA and OGCP to file false Forms 1065 and provide Arsenault false Schedule K-1s. From 2019 to 2022, Arsenault mischaracterized and concealed from his accountants financial activity, including deposits and wire transfers into his personal bank account, which caused them to prepare false accounting records and tax returns for OGCA.
$2,162,870 here, and $4,668,523.75 there: pretty soon it adds up to real money
Arsenault has agreed to pay restitution of $2,162,870 to the IRS. He has also agreed to pay restitution of $4,668,523.75 to victims in a related civil case, Securities and Exchange Commission v. Jeffrey Arsenault, 3:24cv1633.
Arsenault is released on a $50,000 bond pending sentencing, which is not scheduled. Tax evasion carries a maximum term of imprisonment of five years.
Tax fraud, meh — half of Rogue Hill’s residents have probably dabbled in that, but a good part of my legal practice long ago was dedicated to pursuing Wall Street crooks, and I saw the ruination they brought into people’s lives; the man has five children, and it’s too bad that they’ll be embarrassed by all this publicity, but Arsenault stole and defrauded the clients who trusted him; he should have remembered that the sins of the father are visited on the children.
Jeffrey Arsenault et al.
U.S. SECURITIES AND EXCHANGE COMMISSION
Litigation Release No. 26160 / October 11, 2024
The Securities and Exchange Commission today filed charges against Jeffrey Arsenault of Greenwich, Connecticut and two investment advisers he controls, Old Greenwich Capital Advisors, LLC and OGCP Management Co, LLC. The SEC’s complaint charges the defendants with conducting a fraudulent scheme to misappropriate at least $4.1 million from two private funds they advised and ultimately from the investors in those funds.
According to the SEC’s complaint, filed in the United States District Court for the District of Connecticut, between October 2014 and the present, Arsenault and his co-defendants misappropriated the assets of two private funds the defendants advised and controlled to pay for Arsenault’s personal expenses and to make unauthorized payments for the defendants’ benefit. The complaint further alleges that, to conceal their misappropriation from investors, the defendants falsely overstated the value of the funds’ investments in investor account statements and tax documents, including by falsely claiming that one of the private funds defendants controlled held substantial investments in the other private fund under their control even after the lat
And this puff piece from 2014 is amusing:
Jeffrey Arsenault, Old Greenwich CT: From Business to His Various Interests
It is a common misconception that people who have made it big in the realm of finance and business world don’t have lives at all. Even though they’re experts in what they do, they also engage in various areas of interests outside of business. Some take on sports, while some take on the arts. And, like most executives and other people, they have families of their own, and likewise perform their duties and responsibilities as spouses and parents to their children. One man who has all of these is Jeffrey Arsenault, from Old Greenwich CT.
Mr. Arsenault is well-known in the American business circles, especially in the industry of hedge funds. In fact, just like many other executives hailing from Greenwich, Connecticut, he has a company that provides investment, portfolio, and risk management services, in which he is the founder and its principal partner. ….
His expertise in business and finance is all thanks to his acquired education in Boston University, where he graduated in 1985 earning a degree in Business Administration. Before establishing OGCP, he has excelled in every stop his been, from Gordon Capital where he worked in institutional sales for five years, to CIBC World Markets, Merrill Lynch where he become a Director of Institutional Sales, and to Paradigm Capital, Inc, a Canadian investment boutique, where he successfully established a U.S. presence for the firm.
[Certain of these pastimes — golf comes to mind, and, probably squash — may soon be deferred — Ed]
What makes Mr. Arsenault exceptional in life is his engagement in other various interests. Apparently, he is a known patron of the arts. He appreciates modern art such as the work of Robert Dutesco, who captured the beauty of nature through photography in “The Wild Horses of Sable Island”, in Nova Scotia. Also, he’s a great advocate and supporter of education, widely sponsoring educational initiatives and programs for language and literacy. Not surprisingly, he’s also an avid sportsman, who plays squash, tennis, and most especially, golf. And, when not in the office or in any engagements, is a loving husband to his wife, as well as a caring and supportive father to his five children.