Salvatore Favata sued

LOSSES & LAWSUITS

In promising investors returns of up to 30–60% on their investments, Favata was able to pay off previous investors. He also used his increasing fortunes to pay for gambling, house parties and community music festivals.

Favata accrued his riches through persuading people, face-to-face and sometimes in church, to part with their cash. He persuaded those unable to get mortgages to invest in his company, then acted as the lender for their property.

Favata has yet to either plead guilty or not guilty to these charges. He already finds himself in rough waters over a charge of mail fraud brought by the US Attorney's office for California, which could lead to his having to pay back more than $20 million and also face a substantial jail sentence.

  • LinkedIn  
  • Save this article
  • Print this page  

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact [email protected] or view our subscription options here: http://subscriptions.risk.net/subscribe

You are currently unable to copy this content. Please contact [email protected] to find out more.

You need to sign in to use this feature. If you don’t have a Risk.net account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account here: