Paramount Partners’ John Lawton pleads guilty to $10 million Fraud

November 30th, 2009
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John W. Lawton, the former manager of Paramount Partners LLP facing seven counts for a scheme that defrauded dozens of his fund’s investors of over $10 million from 2006 to 2009, has pleaded guilty before a judge in the U.S. District Court in St. Paul. According to the Star Tribune, Mr. Lawton admitted to misrepresenting the fund’s gains and losses, falsifying fact sheets, sending fraudulent monthly statements to investors by mail, and luring numerous investors into Paramount Partners.

Lawton has not yet been sentenced, but on the mail fraud count, he could receive up to 20 years in federal prison; on the false statement count, he faces five years. Paramount Partners LLP was managed by Mr. Lawton’s St. Paul, MN-based Crossroad Capital Management.
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Paramount Partners / Crossroad Capital
Related People: John W. Lawton
Related Article Tags: Hedge Fund Fraud and Ponzi Scheme News

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