Federal prosecutors have accused two North Jersey developers of running a $650 million Ponzi scheme that cheated roughly 2,000 investors — as well as scheming to dodge $26 million in taxes.
Thomas Nicholas Salzano, 64, of Secaucus, and Rey Grabato, 43, of Hoboken, were both charged in an 18-count indictment unsealed on Wednesday, U.S. Attorney Philip Sellinger said.
They each face conspiracy to commit securities fraud, securities fraud, conspiracy to commit wire fraud, wire fraud, and conspiracy to defraud the U.S., stemming from activities with National Realty Investment Advisors, a high-profile company in Secaucus.
Salzano, publicly known as Nick, additionally faced five counts of subscribing to false tax returns and two counts each of aggravated identity theft and tax evasion.
He was arrested on Wednesday while Grabato, who also is a citizen of the Philippines, remained at large, according to Sellinger.
The former head of sales for NRIA has already admitted to his role in the scheme.
Arthur Scuttaro, right, has pleaded guilty to his role in a massive Ponzi scheme. Nick Salzano, right, has been indicted on 18 federal charges (NRIA – National Realty Investment Advisors via Facebook)
On Thursday, Arthur Scuttaro, 62, of Nutley, pleaded guilty in Newark federal court to conspiracy to…
