Brooklyn Entrepreneur Stole $1.3M In Wire Fraud Scheme: Feds
Thomas John Sfraga stole money from his victims during a three-year period, prosecutors said.
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BROOKLYN, NY — A Brooklyn entrepreneur — and apparent “Seinfeld” fan —pleaded guilty to wire fraud after he stole more than $1 million from victims who thought they were making legitimate investments, prosecutors said.
Thomas John Sfraga, also known as “T.J. Stone,” copped the plea Thursday in front of a federal judge.
From 2019 to 2022, Sfraga identified himself as the owner of multiple businesses including Vandelay Contracting Corp. and Build Strong Homes LLC — with the one first business taking the name of a fictional company in the show “Seinfeld,” prosecutors said.
“For years, Sfraga brazenly lied to friends, neighbors and investors to swindle over $1.3 million of their hard-earned life savings,” said U.S. Attorney Breon Peace, in a statement.
Sfraga defrauded over a dozen victims, including some in Brooklyn, Staten Island and Long Island, authorities said.
Sfraga convinced victims to loan him money for multiple fraudulent investments including purchasing, renovating and “flipping” homes, prosecutors said.
In one case, Sfraga convinced a victim to lend him $100,000 in cash as start-up costs for a nonexistent major construction project, officials said.
In another case, Sfraga convinced a victim to invest in a fact cryptocurrency “virtual wallet,” prosecutors said. He promised the victims returns on their investments as high as 60 percent in three months, prosecutors said.
In reality, Sfraga used the money for his own benefit, to pay expenses, and to pay earlier victims and business associates, prosecutors said.
Sfraga faces a maximum sentence of 20 years’ imprisonment, as well as restitution of more than $1.33 million, prosecutors said.
