Day Trader Plea Deal
Ian G. Bell pleads guilty in hopes of reducing prison time
A quick update on the Spoiled Rotten Day Trader whose pocket-lining antics we reviewed after he was indicted in December.
Ian Gregory Bell, 35, pleaded guilty today two of the 18 federal charges filed against him as part of a plea agreement (attached below).
In return, prosecutors have agreed to recommend the low-end of whatever prison time he faces when he is sentenced on Aug. 1. He remains free on bond.
Considering the facts of this case, it looks like the Colorado day trader got some pretty good lawyering from one of Denver’s most notable white-collar defense attorneys, Harvey Steinberg.
They say don’t do the crime if you can’t do the time – but really, it’s don’t do the crime if you can’t afford the lawyers.
Bell has an interesting background, including a mother who runs in upper-crust Denver social circles and a CEO grandfather who was sentenced to a year in prison in 1976 after being convicted on fraud and conspiracy charges. (Click here to read more on Bell.)
Bell leveraged his high-society connections to raise more than $1.2 million in investments from 30 victims – some of it from professional athletes. His victims remain largely unnamed, except for former NFL player Ryan Lewis.
Who thinks they’re going to beat the market by handing their money to a day trader? Bell allegedly spent his investors’ money on his girlfriend, his mother, and himself, and lost more in trades.
You know the drill: Promise your investors fat returns with little to no risk and then blow it however you choose.
But then come the consequences.
Bell pleaded guilty to wire fraud and money laundering charges – which carry prison sentences of up to 20 years and 10 years, respectively, plus $250,000 fines. He likely won’t get anywhere near that much time with his plea deal, but he can expect time.
He also agreed to be liable for about $1.2 million in restitution and not contest forfeitures of his assets.
He also still faces a a civil action from the Securities and Exchange Commission.
Here’s the plea deal fresh from the court:
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Fun fact: You don't have to be convicted for Federal asset seizure. You just have to be charged.
Then, again, there's more than one person convicted of things like fraud whose assets haven't yet been seized.