Manalapan Investment Advisors Sentenced in $1.2M Scam
Two investment advisers were sentenced to federal prison for scamming clients out of $2.7 million and for lying to the Internal Revenue Service.
Shawn O’Sullivan, 60, and Finnish native Heidi Wivolin, 49, were business partners in the Firstrust and Finntrust Investments. Their office was located on South Ocean Boulevard in Manalapan.
Instead of investing money given to them by their clients, prosecutors allege that O’Sullivan and Wivolin used the money to bankroll comfortable lifestyles and the business.
Their scheme began unraveling in 2014 when O’Sullivan threatened to kill himself at the office. Wivolin told Manalapan police that O’Sullivan said he lost $11 million and believed suicide was the only option, according to records.
O’Sullivan was involuntarily committed to a mental health hospital under the state’s Baker Act. Later, both began cooperating with federal agents. They were charged in January with mail fraud and tax evasion. Wivolin was charged additionally with willfully filing a false tax return. Both pleaded guilty.
Wivolin was sentenced in May to 2 years in prison. O’Sullivan was sentenced to 16 months imprisonment on June 19. Both were ordered to pay $2.7 million in restitution to unidentified clients. In addition, Sullivan owes the IRS $122,000 while Wivolin faces a $140,000 tax bill.