$10M fraudster admits role

TAMPA — A Pinellas County man was sentenced to 17½ years in prison for his role in what authorities called a “fraud scheme designed to steal money from two private equity lenders and an 84-year-old man.”

Robert Edwards, 28, from Clearwater, pleaded guilty to conspiracy to commit wire fraud, according to a release from the U.S. Attorney's office in Tampa. U.S. District Judge James Moody further sentenced Edwards to pay nearly $10 million — $5.18 million in restitution and $4.75 million in a money judgment. The latter payment is for the proceeds of the conspiracy.

The fraud was uncovered after Edwards and a co-conspirator, Marc Allen, fraudulently obtained a multimillion-dollar loan. The loan, according to the U.S. Attorney's office, was purportedly secured by a first priority mortgage, along with other financial guarantees, in Harbourtowne at Countrywoods, a Dunedin condo development.

Edwards, the release states, also created fraudulent documents in pursuit of the loan. He forged a letter of credit for $5 million from East West Bankcorp, which purported to secure the loan, authorities contended in court documents.

The owner of the condo development, meanwhile, William Allen, granted his son Marc Allen a limited power of attorney to lease units and manage the Dunedin property. Marc Allen, however, according to prosecutors, “had no legal right to encumber the property or otherwise pledge the property as collateral.”

Edwards and Marc Allen then created and filed a fraudulent Power of Attorney with a forged William Allen signature, authorities say. The document purported to empower Marc Allen to encumber the development. 

Finally, Edwards, according to prosecutors, “stole an additional $500,000 directly from Marc Allen's 84-year-old father and used the stolen money to pay for his personal indulgences.”

Marc Allen previously pleaded guilty for his role in the scheme. A sentencing date hasn't been set yet for the younger Allen.