The former CEO and president of a Vermont ski resort has reached a plea deal in connection with a fraud case linked to an unsuccessful plan to build a biomedical research facility, VTDigger reports.
According to the Associated Press, Bill Stenger, the former CEO and president of Jay Peaks, Ariel Quiros, the former owner of the ski resort, and William Kelly, an advisor to Quiros, were indicted in relation to their plans to build a biotech facility in northern Vermont using funds raised through a visa program that encourages immigrants to invest in the US. The AP adds that the AnC-Bio project aimed to raise $110 million from more than 200 immigrant-investors.
Instead, the US Securities and Exchange Commission and the state of Vermont alleged that Stenger and Quiros misused $200 million of the about $400 million in funds they raised in a "Ponzi-like" scheme, the AP adds.
Stenger, VTDigger says, is to plead guilty on Friday to a charge of providing a false statement to the government and that other fraud-related charges will be dismissed, though it notes he still faces up to five years in prison. The Burlington Free Press adds that Quiros pleaded guilty last year to charges of conspiracy to commit wire fraud, money laundering, and the concealment of material information, while Kelly also pleaded guilty to fraud.