Rothstein ally gets pun­ish­ment re­duced

Sun Sentinel Broward Edition - - LOCAL - By Paula McMa­hon Staff writer

A Broward County man who ad­mit­ted he fed more than $20 mil­lion to Scott Rothstein’s mas­sive Ponzi scheme had his prison term re­duced last week at the re­quest of pros­e­cu­tors.

Frank Prevé, 73, of Co­ral Springs, pleaded guilty to one count of con­spir­acy to com­mit wire fraud in 2014.

Se­nior U.S. District Judge James Cohn agreed on Fri­day to cut Prevé’s fed­eral prison term from 3 1⁄2 years to two years and two months. Fed­eral pros­e­cu­tors rec­om­mended the sen­tence re­duc­tion be­cause of in­for­ma­tion and help Prevé pro­vided in re­lated pros­e­cu­tions in Penn­syl­va­nia.

In a re­lated mat­ter, for­mer Rothstein Rosen­feldt Adler law firm part­ner Stu­art Rosen­feldt, 61, of Boca Ra­ton, is serv­ing the last few months of his fed­eral prison sen­tence at a half­way house in South Florida, prison records show. He was moved from the fed­eral prison camp at Maxwell Air Force Base in Alabama to South Florida to be­gin his tran­si­tion back to free­dom, prison of­fi­cials said.

Rosen­feldt was a part­ner in the nowde­funct Fort Laud­erdale law firm, which was the cen­ter of oper­a­tions for the $1.4 bil­lion Ponzi scheme or­ches­trated by Rothstein. Rothstein is serv­ing a 50-year prison sen­tence for his crimes.

Rosen­feldt, who pleaded guilty to a sin­gle charge of con­spir­ing to com­mit

Frank Prevé fed more than $20 mil­lion from in­vestors into the fraud.

cam­paign fi­nance fraud, to de­fraud the United States, to com­mit bank fraud and to deny civil rights, sur­ren­dered to prison in early 2015. He will be placed on probation for two years af­ter he is re­leased fromthe half­way house.

Prevé, whoworked with a hedge fund group, fed more than $20 mil­lion from in­vestors into the fraud in the four months be­fore it col­lapsed in 2009.

Prevé was ini­tially sen­tenced to 3 1⁄ 2 years in fed­eral prison in Fe­bru­ary 2015 but was al­lowed to re­main free on bond be­cause of poor health and so he could tes­tify in one of the re­lated cases, ac­cord­ing to court records.

Pros­e­cu­tors said he didn’t know it was a Ponzi scheme but failed to report ob­vi­ous red flags to in­vestors, in­clud­ing that Rothstein skipped mak­ing pay­ments, pa­per­work was miss­ing and the un­der­ly­ing deals couldn’t be ver­i­fied.

Prevé was also cred­ited with help­ing au­thor­i­ties to in­ves­ti­gate the Rothstein fraud.

Prevé, who served in the mil­i­tary and worked in a CIA cryp­tol­ogy sta­tion in the 1960s, was once a suc­cess­ful bank pres­i­dent in South Florida. Pros­e­cu­tors said he­was paid about $4 mil­lion linked to the Rothstein fraud.

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