SAN DIEGO - A Florida man pleaded guilty to using his company iTrackr Systems to defraud people of $2.5 million in an offshore boiler room investment scam, federal prosecutors said.
John D. Rizzo, 51, of Boca Raton, claimed his company could track inventories and availability of consumer electronics - but did not tell his "investors" that he and his boiler rooms took 80 percent of the money as "commissions," the U.S. Attorney's Office said in a statement.
The SEC filed a parallel civil complaint .
Rizzo funneled his ill-gotten gains through accounts in Belize and the British Virgin Islands, the U.S. attorney in San Diego said.
He faces up to 20 years in prison, restitution and a fine of $250,000 at his Oct. 28 sentencing.
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