NYS Office of the Comptroller DiNapoli: State Tax Revenues Down $3 Billion

 

State tax revenues through October totaled $43.8 billion, $3 billion lower than the same period in the previous fiscal year, according to the monthly State Cash Report released today by New York State Comptroller Thomas P. DiNapoli.

“Revenues are down and New York continues to withhold billions of dollars in spending due to the fiscal impact of the coronavirus pandemic,” DiNapoli said. “Caution is needed because rising infection rates may force more shutdowns and even greater economic damage. Washington must respond with more economic stimulus, including real relief for state and local governments.”

DiNapoli noted that spending from State Operating Funds, which pays for the state’s day-to-day operations as well as certain local assistance, through the first seven months of the fiscal year was $49.9 billion, or $6.1 billion lower than a year earlier. This is due to several factors including an increase in federal Medicaid reimbursements and according to the state Division of the Budget (DOB), withholding of $2.6 billion, including $2.4 billion in local assistance payments, through September.

Total tax receipts in October of $4.3 billion were $432.9 million below DOB’s projection in its FY 2021 Mid-Year Update, issued Oct. 30, but $320.1 million higher than DOB’s projection in its First Quarter Update issued in August. While DOB did not change its projections of tax receipts for the full 2020-21 fiscal year in the Mid-Year Update, it revised estimates for the remaining months of the fiscal year, including an increase in total October tax receipts of $753 million from its August projection.

Personal income tax revenues in October were $46.8 million, or 1.8 percent, below those in the previous year. Sales tax receipts in October were $97.7 million, or 7.9 percent, lower than a year earlier. Year-to-date sales tax collections through October were nearly $1.5 billion below a year earlier.

As of Oct. 31, the General Fund held a balance of $14.9 billion, $1.2 billion lower than projected by DOB, and $6.1 billion higher than last year at the same time. The higher balance is driven partly by $4.5 billion in proceeds from short-term borrowing that DOB anticipates repaying before the end of the fiscal year.

October Cash Report

NYS DIVISION OF CONSUMER PROTECTION OFFERS TIPS FOR A SAFE AND HAPPY HOLIDAY SHOPPING SEASON

 

Seven-Part Shopping Series to Assist Consumers Navigating this Year’s Pandemic Holiday Season

Tips to Help Consumers Adjust and Ensure a Safe and Happy Holiday Shopping Season

The New York State Division of Consumer Protection today announced the rollout of a seven-part consumer alert series to help New Yorkers navigate new holiday shopping pitfalls. As a result of the COVID-19 pandemic, most experts predict this year’s online holiday shopping season may top records – both in sales and in scams. In the coming weeks, consumers will receive guidance on equitable pricing requirements, credit cards, gift cards, refunds, warranties and data privacy.

“This holiday season, we want all New Yorkers to stay safe and understand their rights. Online shopping provides convenience and helps people maintain social distancing but is not without risks,” said New York Secretary of State Rossana Rosado, who oversees the Division of Consumer Protection.  “Consumers need to be aware of the New York laws that protect them, and ways they can protect themselves while shopping this holiday season.”

Package tracking and delivery scams are rife during the holidays. It is important for consumers to keep track of their packages and note any issues right away directly through the merchandiser’s websites.

Another common scam this time of year is scammers using phishing emails and impersonating delivery companies (e.g. UPS, USPS, FedEx), banking and credit card companies, and other large retailers (e.g. Netflix, PayPal, eBay, Amazon), which often include links to sites attempting to steal your information. Always open a browser and type the company’s website address yourself instead of clicking on a link in an email.

Shop safely this holiday season with these additional tips:

Know Your Rights:

• The Federal Mail, Internet, or Telephone Order Merchandise Rule (the Mail Order Rule) states that your order must be delivered within 30 days unless otherwise stated at the time of purchase. If there is a delay, you must be notified. If the company cannot reach you to obtain your consent to the delay, they must, without being asked, promptly refund all the money you paid for the unshipped merchandise.

Savvy Online Shopping Tips:

• Shop on trusted sites with retailers known to you. In the era of social media marketing and influencers, consumers are more exposed to sham businesses that advertise a premier product but only deliver a low-quality version of the advertised item, if they deliver anything at all. Use caution on trusted sites that host items for third-party sellers.
• Beware of third-party vendors. If redirected from a trusted site to a third-party site, read the seller’s policies, review ratings, read consumer comments and most importantly do a broad internet search before making your purchase. Trusted retailers who host third-party sellers do not warranty their sales, thus you could get a substandard product or no product at all when you take the risk and purchase from an unknown third-party vendor.
• Do your research if you want to try a new site or retailer. Performing a broad internet search will provide you with important feedback from other customers. Are there any reviews? How is the company responding to its customers? Read the comments within any social media advertisements. This will help you assess what to expect if something goes wrong.
• Read product specifications. Online marketing is geared to get you to buy so it is important to understand the product you are purchasing and the terms of the sale to ensure you are getting what you want.
• Comparison shop. Search other websites to compare price, quality, return policies, delivery cost and speed. Buying the “cheapest” advertised price may cost you more when you factor in delivery charges in the short term or return policies in the long term.
• Protect your privacy. Our devices are generally defaulted to share the maximum amount of data as possible. Take precautions and make changes to your settings to limit the personal data you share.

Tips for Using Credit Cards Online:

• Check the website’s encryption, it’s easier than you think. Before entering your credit card information, make sure that the website’s address begins with “https” and that there is a closed lock or unbroken key symbol in the lower portion of your window or up on the website address bar.
• Don’t keep the credit card on file for future purchases. Provide your credit card number each time you make a purchase.
• Designate one credit card and one email address for online shopping. This will allow for easy review of purchases and provide protection in case of a dispute.

Online Privacy Protection Tips:

• Protect your passwords. The key to safe passwords is to update them regularly and make them unique. Try using a passphrase instead of a password and include special characters and numbers. If it’s difficult to remember so many passwords, try a password manager with multi-step authentication to manage your passwords.
• Avoid autofill. Saving usernames, passwords, and credit card information on your device saves time. Unfortunately, it also makes it easier for thieves to get access to that information if they access your account or device. Re-entering important information each time – as opposed to autofill – is an extra step to safeguard personal information.
• Check social media logins. Many apps allow you to use your social media credential to create a new account on their platform, but when you stop using those apps, your social media accounts still have access to the information. Once a year, check the list of apps that you access through your social media account and delete any you do not recognize or no longer use.
• Secure your connections. Do your shopping while connected to a secure network, rather than public WiFi or an unknown WiFi server. Public WiFi does not mask any information, even if a website or app seems secure. Usernames, passwords, credit card and account information can be easily seen by hackers who are logged into the same network. On home networks, keep operating systems and antivirus software up to date with the latest security patches and ensure the network has a strong password.
• Don’t become the product. Everything you do on your computer or device creates a digital imprint. That information is often compiled, tracked and sold to interested parties to better market products directly to you. This is called “behavioral advertising.” You can shut this feature off on your devices. Go to your device’s main settings and look for the settings marked “Privacy.” You can adjust the privacy settings to your comfort level.

If you encounter a marketplace problem or are concerned about a scam, you are encouraged to file a complaint with the Division of Consumer Protection.

The New York State Division of Consumer Protection serves to educate, assist and empower the State’s consumers. The Consumer Helpline, 800-697-1220, is available to assist consumers Monday through Friday, 8:30am-4:30pm. Consumer complaints can be filed anytime online at the Division website, www.dos.ny.gov/consumerprotection. To view consumer alerts, consumers can visit https://www.dos.ny.gov/about/newsroom.html. The Division can also be reached via Twitter at @NYSConsumer or Facebook at www.facebook.com/nysconsumer.

Several Communities in the Bronx have seen a rise in positive cases, and meet the metrics for a precautionary yellow zone.

 

New Focus Zones

Bronx - New Yellow Precautionary Zone - Click Here and Here for Maps

Several communities in the Bronx have seen a rise in positive cases, and meet the metrics for a precautionary yellow zone. Above the 3% mark

The communities are in many of the 12 Bronx Community Boards.

1 - From 161th Street from the Harlem River to the Grand Concourse up to Mosholu Parkway.

2 - Most of the South Bronx to large an area to pin down.

3 - Parkchester, Van Nest, and Bronxdale. 

BOROUGH	SUNDAY	MONDAY	TUESDAY
Bronx	2.5%	3.7%	3.9%

Governor Cuomo Announces Updated COVID-19 Micro-Cluster Focus Zones - NOVEMBER 18, 2020

 

Brooklyn, Orange and Broome Zones Improve

Part of Erie County Yellow Zone Changes to Orange Zone, Yellow Zone Expanded in Erie; New Yellow Zone in Niagara County

New Yellow Zone in the Bronx; Expanded Yellow Zone in Queens

Changes to Zones Go into Effect Friday for Businesses, Monday for Schools

Positive Testing Rate in All Focus Zone Areas is 4.73 Percent; New York State Positivity Outside All Focus Zone Areas is 3.10 Percent     

Statewide Positivity Rate is 3.43 Percent

35 COVID-19 Deaths in New York State Yesterday

 Governor Andrew M. Cuomo today announced updated COVID-19 micro-cluster focus zones in New York State. Based on data metrics, the existing yellow zones in Broome and Orange Counties will be removed, and Brooklyn's orange zone will transition to a yellow zone. Part of Erie County's yellow zone will transition to an orange warning zone, and part of Niagara County adjacent to Erie will become a yellow zone. Changes to zones go into effect Friday for business restrictions and Monday for school closures.

"Parts of the Bronx will go into a Yellow Zone and the Queens Yellow Zone is expanded northwest to cover the Astoria area. Western New York is the worst situation in the State of New York. Parts of Western New York are going from a Yellow Zone to an Orange Zone, and a part of Niagara County will move to a Yellow Zone. Those areas are astronomical compared to the rest of the state," Governor Cuomo said. "What's the good news? The good news is micro-clusters work. Following the rules works. Broome and Orange Counties were Yellow Zones and they're now back to normal. Brooklyn was an Orange Zone and is being dropped to a Yellow Zone. So the restrictions work. And just to make it very simple, if you socially distanced, and you wore a mask, and you were smart, none of this would be a problem. It's all self-imposed."

Modifications to Current Focus Zones

Broome County - Yellow Zone Removed

Based on metrics including declining and low positivity rates and hospital admissions, Broome County is now eligible to have its yellow precautionary zone removed.

Brooklyn - Orange Zone Changes to Yellow Precautionary Zone

Last week, Brooklyn's red zone was transitioned to orange based on its progress. The zone has continued to demonstrate progress, so now the current orange zone will be changed to a yellow precautionary zone, and the current yellow buffer zone will be removed.

Orange County - Yellow Zone Removed

The existing yellow zone has demonstrated progress and consistently low positivity rates and low number of new daily cases.  The precautionary yellow zone will be removed.

New Focus Zones

Bronx - New Yellow Precautionary Zone - Click Here and Here for Maps

Several communities in the Bronx have seen a rise in positive cases, and meet the metrics for a precautionary yellow zone.

Erie County - New Orange Warning Zone - Click Here for Map

Parts of the Erie Yellow Precautionary Zone meet the metrics to transition to an Orange Warning Zone. The previous Yellow Zone is expanded to include new parts of Erie County seeing upticks in new cases, positivity, and hospital admissions.

Queens - Expanded Yellow Precautionary Zone - Click Here for Map

The current Queens zone will be expanded to include additional communities which have seen an increase in both positivity and cases over the past ten days, and are currently over 2.5% positivity on the 7-day rolling average

Niagara County - New Yellow Precautionary Zone - Click Here for Map

North Tonawanda has seen an uptick in cases and positivity and meets the metrics for a yellow precautionary zone.

The Governor noted that the positive testing rate in all focus areas under the state's Micro-Cluster strategy is 4.73 percent, and outside the focus zone areas is 3.10 percent. Within the focus areas, 30,762 test results were reported yesterday, yielding 1,455 positives. In the remainder of the state, not counting these focus areas, 123,672 test results were reported, yielding 3,839 positives. 

Today's data is summarized briefly below:

·       Patient Hospitalization - 2,202 (+78)

·       Patients Newly Admitted - 352

·       Hospital Counties - 50

·       Number ICU - 423 (+15)

·       Number ICU with Intubation - 192 (+16)

·       Total Discharges - 82,261 (+239)

·       Deaths - 35

·       Total Deaths - 26,225

Each New York City borough's percentage of positive test results reported over the last three days is as follows:

BOROUGH	SUNDAY	MONDAY	TUESDAY
Bronx	2.5%	3.7%	3.9%
Brooklyn	1.9%	2.3%	2.6%
Manhattan	1.6%	2.3%	2.2%
Queens	3.3%	3.1%	3.3%
Staten Island	3.1%	4.8%	4.3%

Governor Cuomo Updates New Yorkers on State's Progress During COVID-19 Pandemic - NOVEMBER 17, 2020

 

Positive Testing Rate in All Focus Zone Areas is 4.89 Percent; New York State Positivity Outside All Focus Zone Areas is 2.82 Percent 

Statewide Positivity Rate is 3.18 Percent

29 COVID-19 Deaths in New York State Yesterday

 Governor Andrew M. Cuomo today updated New Yorkers on the state's progress during the ongoing COVID-19 pandemic. 

"The number of cases across the country and in New York are only continuing to climb. Despite our success in managing the spread, New York is not immune to this national surge of COVID," Governor Cuomo said. "Our micro-cluster strategy and testing capacity will help us through this new season, but ensuring we don't go back to where we were in the spring is going to depend on our behavior. We all have a part to play - wear a mask, stay socially distant, avoid gatherings large and small, and wash your hands religiously. Our actions today determine our rate of positive cases tomorrow - it's that simple. We can manage this phase the same way we did before: by holding each other to account and staying New York Tough."

The Governor noted that the positive testing rate in all focus areas under the state's Micro-Cluster strategy is 4.89 percent, and outside the focus zone areas is 2.82 percent. Within the focus areas, 27,713 test results were reported yesterday, yielding 1,355 positives. In the remainder of the state, not counting these focus areas, 132,139 test results were reported, yielding 3,733 positives.

Today's data is summarized briefly below:

• Patient Hospitalization - 2,124 (+156)
• Patients Newly Admitted - 295
• Hospital Counties - 50
• Number ICU - 408 (+17)
• Number ICU with Intubation - 176 (+18)
• Total Discharges - 82,022 (+114)
• Deaths - 29
• Total Deaths - 26,189 

Each New York City borough's percentage of positive test results reported over the last three days is as follows:

BOROUGH	SATURDAY	SUNDAY	MONDAY
Bronx	2.6%	2.5%	3.7%
Brooklyn	2.1%	1.9%	2.3%
Manhattan	1.6%	1.6%	2.3%
Queens	2.5%	3.3%	3.1%
Staten Island	3.5%	3.1%	4.8%

MAYOR DE BLASIO SIGNS BILLS TO EXPAND GREEN NEW DEAL, COMBAT INCOME DISCRIMINATION AND PROVIDE ONLINE ACCESS TO RENTAL ASSISTANCE

 

Mayor Bill de Blasio today signed into law a package of bills that will expand New York City’s landmark Green New Deal, increase access to online rental assistance and strengthen income discrimination laws.

“Fighting climate change and increasing access to safe and stable housing are crucial to making New York City an equitable place to live for generations to come,” said Mayor Bill de Blasio. “These bills will chart a path forward for a fair and sustainable recovery.”

 

The bills include:

 

Intro. 1947-A (Constantanides): Increases the threshold for rent-regulated buildings to be exempted from Green New Deal emissions reduction requirements. Under the original law, buildings with one or more rent-regulated units were be exempted. Under this law, buildings that are up to 35 percent rent-regulated will required to meet the Green New Deal standards. The bill provides this newly added universe of buildings an extra two years to comply with the initial requirements.

 

Intro. 2072-A (Constantanides): Requires the City to report on its outreach and education efforts and methods buildings use to comply with greenhouse gas emissions limits pursuant to Local Law 97 of 2019, including information about non-compliant buildings, types of retrofits different building types are using, and funding available for these energy investments.

 

Intro. 2080-A (Levin): Requires the Department of Social Services provide clients online access to their CityFHEPS rental assistance application. This will help clients track their application status and serve as a way for New Yorkers to get help if they have questions about the application process.

 

Intro. 1339-A (Ayala): Requires the Department of Social Services to provide information to CityFHEPS rental assistance applicants about income discrimination at the time an applicant receives a “shopping letter” from DSS. The notice would provide information about protections under the New York City Human Rights Law related to discrimination on the basis of a person’s lawful source of income and use of rental vouchers.

 

Examples of actions that may indicate discrimination include: 

 

• Refusing to accept lawful source of income for rent payment (unemployment benefits, child support, alimony, foster care subsidies, Social Security, or any other form of federal, state, or local public assistance or housing assistance)  
• Publishing any type of advertisement that indicates a refusal to accept any lawful source of income 
• Refusing or delaying repairs because a person uses any lawful source of income for rent payment 
• Refusing to accept a CityFHEPS subsidy for payment of rent or a security deposit voucher  

Intro. 2082-A (Powers): Expands prohibition of income discrimination by landlords of small buildings (1-5 units). The bill also amends the definition of “lawful source of income” to clarify that the term encompasses other types of lawful income that low-income New Yorkers may have access to, including, but not limited to, “child support, alimony, foster care subsidies, income derived from social security, or any form of federal, state, or local public assistance or housing assistance including, but not limited to, Section 8 vouchers.”

 

"The Council is proud of our efforts to create and expand a Green New Deal for New York City and we will continue to strengthen the Climate Mobilization Act and other resiliency initiatives. We will also keep working to protect New Yorkers from income discrimination and increase access to rental assistance for tenants throughout this pandemic and beyond," said Council Speaker Corey Johnson.

 

"New Yorkers understand that climate change is an existential threat, especially in a city of islands like ours," said Department of Buildings Commissioner Melanie La Rocca. "Buildings are our largest source of emissions, and we look forward to continue educating and working with buildings owners on the necessary changes they must make to meet this threat head-on. We remain committed to implementing NYC's Green New Deal, and appreciate the continued support of the Council to do so." 

 

"We must, and will, ensure our climate interventions also protect every New Yorker's right to affordable, comfortable and healthy housing," said Mark Chambers, Director of Sustainability, City of New York. "Intros 1947 and 2072 signed today provide pathways for more buildings to meet our ambitious climate goals, and we stand ready to support their compliance."  

 

 “Since day one, we have made housing stability a top priority,” said Department of Social Services Commissioner Steven Banks. “Today’s legislation exemplifies that pledge and will take our progress even further, making it easier for New Yorkers in need and landlords alike to open and access doors of opportunity, like permanent housing, including by reinforcing the source of income discrimination protections provided under the law to New Yorkers who may use rental assistance to get back on their feet. We thank our partners and the sponsors of the legislation at City Council for their ongoing support and commitment to providing New Yorkers in need with a variety of tools to secure their homes.”   

 

"Fighting source of income discrimination remains a top priority at the NYC Commission on Human Rights” said Carmelyn P. Malalis, Chair and Commissioner of the NYC Commission on Human Rights. “Since 2014, the Commission has assessed over $1.2 million in damages and penalties in source of income cases, $450,000 of which was assessed in Fiscal Year 2020 alone. Because of the systemic nature of these violations, the Commission employs innovative strategies in our enforcement efforts to ensure maximum impact, such as requiring violators to set aside a percentage of their units specifically for tenants utilizing government rental assistance. Today’s bills serve to strengthen the Commission’s ability to protect New Yorkers. At a time when housing insecurity is made all the more dangerous by the COVID-19 pandemic, we applaud these steps taken toward eradicating housing discrimination and keeping people in safe and secure homes." 

Governor Cuomo Announces Statewide Seat Belt Enforcement Campaign

 

21st Annual "Buckle Up New York, Click It or Ticket" Enforcement Campaign Runs Through November 29, 2020

New State Law Requires Back Seat Passengers to Wear Seat Belt

Xfinity Series Driver Ross Chastain Helps Promote Seat Belt Use in New York

Watch GTSC's New Seat Belt PSA Here

 Governor Andrew M. Cuomo today announced that the 21st Annual "Buckle Up New York, Click It or Ticket" enforcement campaign is underway and will run through November 29, 2020. The statewide campaign, supported by the Governor's Traffic Safety Committee, raises awareness about the importance of wearing seat belts. Throughout the mobilization, state and local law enforcement agencies are using marked and unmarked vehicles, checkpoints, and roving details to patrol for unbelted occupants. Law enforcement is also making sure children are properly restrained. During last year's enforcement campaign, police issued 26,432 tickets for seat belt and child restraint violations.  

"Wearing your seat belt isn't only the law, but it's the smartest choice you can make to help prevent a needless tragedy," Governor Cuomo said. "New York has been a national leader on this issue ever since my father helped institute the country's first seat belt law, and while we've made a great deal of progress over the years, we still see instances where they are not being used. There is no debate -- seat belts save lives and we will continue to raise awareness on this undisputable fact to help ensure all those who travel on New York's roadways do so safely."

In August, Governor Cuomo signed legislation that strengthens the state's historic seat belt laws to better protect everyone on New York's roadways. As of November 1, 2020, everyone in passenger vehicles, regardless of where they sit, needs to wear a seat belt or be properly restrained in a child safety seat. In New York, police can lawfully ticket motorists for not wearing a seat belt even if they are not committing any other traffic infractions. 

Enforcement efforts like the "Buckle Up New York, Click it or Ticket" mobilization and educational campaigns like the GTSC's new PSA are working. The state's seat belt compliance rate has remained at or above 90 percent since 2010, reaching a record 94 percent last year, according to data from the Institute for Traffic Safety Management and Research at the University at Albany's Rockefeller College. 

To further promote awareness, GTSC has continued its partnership with Xfinity Series driver Ross Chastain and Spire Sports to encourage seat belt use through the "Protect Your Melon" campaign. As part of this initiative, 1,500,000 watermelons labeled with "Protect Your Melon" and "Buckle Up" were sold in grocery stores throughout the state during the spring and summer months, along with Chastain cardboard cut-outs and watermelon bin posters.  Additionally, Chastain uses his large social media following to promote seat belt use in New York.   

According the National Highway Traffic Safety Administration (NHTSA), 37,133 people were killed in motor vehicle crashes nationwide in 2017 and 47 percent of those killed were not wearing seat belts. NHTSA estimates that in 2017, seat belts saved 14,955 lives and an additional 2,549 people could have been saved had they been wearing a seat belt.

GTSC Chair and DMV Commissioner Mark J.F. Schroeder said, "It's simple, buckling up is the easiest and most effective way to reduce the risk of death or injuries in a car crash. I encourage all New Yorkers to make the smart and safe choice of buckling up every time."

New York State Police Superintendent Keith M. Corlett said, "For more than three decades, the New York State Police have been stressing the importance of safety restraint use in motor vehicles. By using safety belts and child safety seats properly, operators and passengers dramatically reduce their risk of severe injury or death when in a motor vehicle accident. Seatbelts save lives. We will continue to do our part to reduce senseless injuries and deaths that result from not buckling up and remind drivers: click it or ticket."   

Financial Adviser Sentenced For Running A Multimillion-Dollar Ponzi Scheme

 

 Audrey Strauss, the Acting United States Attorney for the Southern District of New York, announced today that JAMES T. BOOTH was sentenced in Manhattan federal court today to 42 months in prison in connection with his years-long scheme to defraud customers of his financial services firm, Booth Financial Associates (“Booth Financial”), of nearly $5 million through a variety of lies and misrepresentations.  BOOTH pled guilty to one count of securities fraud on October 22, 2019, before U.S. District Judge John G. Koeltl, who also imposed today’s sentence.

Acting Manhattan U.S. Attorney Audrey Strauss said:  “Today, James T. Booth was sentenced for brazenly bilking some 40 clients of nearly $5 million by fraudulently convincing them that he would deliver solid and secure returns on their investments.  Instead, Booth delivered lies and deceit.  We will continue to aggressively pursue frauds like this one to preserve investor confidence in our capital markets.” 

According to the allegations contained in the Indictment:

From 2013 through 2019, BOOTH solicited money from clients of Booth Financial and falsely promised to invest their money in securities offered outside of their ordinary advisory and brokerage accounts.  Specifically, BOOTH directed certain of his clients to write checks or wire money to an entity named “Insurance Trends, Inc.”  Instead of investing his clients’ funds, BOOTH, who controlled the bank account of Insurance Trends, Inc., subsequently misappropriated his clients’ funds to pay his personal and business expenses.

In total, BOOTH raised more than $4.9 million from approximately 40 investors.  BOOTH lured many of his victims with false promises of safe investments with high returns.  For example:           

•           BOOTH convinced a recently widowed elderly investor (“Investor-1”) to move money she had received from her late husband’s pension into Insurance Trends, Inc.  BOOTH falsely promised Investor-1 that she would have $1 million by the time she was 100 years old.  As a result of BOOTH’s false assurances, Investor-1 invested more than $600,000 with BOOTH.

•           BOOTH similarly convinced another investor (“Investor-2”) to move his money into an investment product that, according to BOOTH, would never lose its principal and would grow with the market.  Based on this false representation, Investor-2 moved money he had set aside for his child’s college expenses, at least approximately $60,000, to BOOTH.  BOOTH subsequently failed to provide Investor-2 with documentation of his investment or to allow Investor-2 to redeem his investment.

•           BOOTH convinced another elderly investor (“Investor-3”) to withdraw money from an annuity established for the care of his disabled sibling – approximately $18,000 – and invest that money with BOOTH.  Investor-3 gave the money to BOOTH with the understanding that BOOTH would invest that money for the benefit of Investor-3’s sibling’s continued care.

To prevent investors from seeking a return of their money, and to induce additional investments, BOOTH provided investors with fabricated account statements that falsely indicated that BOOTH had purchased certain securities on their behalf and that those investments had generated a profit.  BOOTH further concealed the truth from investors by using money obtained from new investors to make redemption payments to previous investors, in a Ponzi-like fashion.

In addition to the prison term, BOOTH, 75, of Norwalk, Connecticut, was sentenced to three years of supervised release, and was ordered to pay $4,969,689.00 in forfeiture.  BOOTH will pay restitution in an amount to be determined by the Court.

Ms. Strauss praised the outstanding work of Homeland Security Investigations and also thanked the Securities and Exchange Commission for its assistance in the investigation.