Somewhere, Bill Clinton is smiling. One-time special prosecutor who uncovered the dirty details of the former President's affair with intern Monica Lewinsky has been engaged in some bad behavior of his own, according to the Justice Department and Securities and Exchange Commission.
Correction (~3:18pm): Apparently there are two famous Kenneth Starrs. The one charged is an investment advisor to the stars, not the former special prosecutor. Apologies to the other Kenneth Starr -- and to Bill Clinton if we got his hopes up.
Kenneth Starr, notable Hollywood investment advisor -- not the former special prosecutor of the same name who detailed the Bill Clinton-Monica Lewinsky affair -- is being charged with running a $30 million Ponzi scheme. Complaints have been filed by both the Justice Department and Securities and Exchange Commission.
The Financial Times Alphaville blog breaks the news. It explains that Starr provided investment and tax advisory services for a number of high profile clients. Many of those are big names in entertainment including Martin Scorsese, Annie Leibovitz, Sylvester Stallone, and Wesley Snipes. The DOJ claims (.pdf) that Starr defrauded his clients, one of which it even says is an actress. In particular, there are five charges:
- Wire Fraud
- Investment Advisor Fraud
- Money Laundering
- False Statements in an IRS Filing
- False Statements to a Federal Officer