ATLANTA — The head of a Georgia real estate investment firm has pleaded guilty to a multi-million dollar fraud scheme that impacted hundreds of people.
According to prosecutors, more than 800 people invested $62.8 million with Elie Schwartz, the CEO of Nightingale Properties.
Officials say $54 million in investments were intended for the Atlanta Financial Center, which is a planned commercial real estate complex on Peachtree Road.
“Seeking to do nothing more than pad his own bank accounts and buy expensive luxury items, Elie Schwartz betrayed hundreds of investors who sought the opportunity to invest in these commercial real estate projects,” said Acting U.S. Attorney Richard S. Moultrie, Jr in a press release.
According to the U.S. Attorney’s Office for the Northern District of Georgia, “Schwartz executed agreements with CrowdStreet that stated the funds raised from CrowdStreet investors would be held in segregated bank accounts controlled by Schwartz.”
“This office is committed to protecting investors from individuals, like Schwartz, who defraud donors out of their hard-earned money and seek to prioritize their own greed at the expense of legitimate investors,” said Moultrie Jr.
Schwartz is scheduled to be sentenced in May.
