Prosecutors say Thomas John Sfraga stole money from victims over a three-year period.
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BROOKLYN, N.Y. — A Brooklyn entrepreneur and apparent “Seinfeld” fan is accused of stealing more than $1 million from victims who thought they were making legitimate investments. Prosecutors announced that he had pleaded guilty.
Thomas John Sfraga, also known as “TJ Stone,” took his plea Thursday before a federal judge.
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From 2019 to 2022, Sfraga claimed to be the owner of multiple businesses, including Vandelay Contracting Corporation and Build Strong Homes LLC, with one of his first businesses appearing on the show “Seinfeld.” Prosecutors said the company took the name of a fictitious company.
“For years, Sfraga brazenly lied to friends, neighbors, and investors, defrauding him of more than $1.3 million of his hard-earned life savings,” U.S. Attorney Brion Peace said in a statement. ” he said.
Authorities say Sfraga defrauded more than a dozen victims, including victims in Brooklyn, Staten Island and Long Island.
Prosecutors said Sfraga persuaded his victims to lend money for several fraudulent investments, including home purchases, renovations and “flips.”
In one case, officials said Sfraga convinced a victim to lend him $100,000 in cash to start a large construction project that did not exist.
In another incident, Sfraga persuaded victims to invest in what was effectively a virtual currency, a “virtual wallet,” and provided the victims with a 60% return on investment in three months, according to prosecutors. prosecutors said.
In reality, Sfraga used the money for his own benefit, to pay expenses and to make payments to previous victims and business associates, prosecutors said.
Prosecutors said Sfraga could face up to 20 years in prison and more than $1.33 million in restitution.
