Jay Clayton, the United States Attorney for the Southern District of New York, and Edward Gallashaw, Acting Inspector in Charge of the New York Division of the United States Postal Inspection Service (USPIS), announced charges against Barry Breeman. Breeman is accused of defrauding investors through a real estate investment scheme. He has pleaded guilty to these charges before U.S. Magistrate Judge Stewart D. Aaron.
U.S. Attorney Jay Clayton stated: "As he admitted today in federal court, Barry Breeman stole more than $13 million dollars from dozens of investors. He falsely represented to investors that they were investing in valuable real estate projects, but in reality, Breeman had no connection to these investments and pocketed their money. Breeman’s conduct has led to his conviction, and he now faces serious time in federal prison for his fraud scheme."
Edward Gallashaw from USPIS remarked: "Investors placed their trust in Breeman, who devised a scheme to mislead and defraud investors out of more than $13 million. His arrest demonstrates that the U.S. Postal Inspection Service is dedicated to investigating fraud and bringing to justice those who break the rule of law."
The allegations state that from 2018 to 2024, Breeman solicited investments under false pretenses and misappropriated funds for personal use. Initially working as a legitimate real estate developer specializing in Latin American projects, Breeman turned to fraudulent activities after facing professional setbacks.
Breeman promoted fake investment opportunities by providing promotional materials and promising returns while having no actual ties or authority related to these projects. The funds received were used for personal expenses rather than developing any real estate projects.
Barry Breeman, aged 75 from Tuxedo Park, New York, faces one count of securities fraud with a maximum sentence of 20 years in prison as prescribed by Congress.
Clayton commended the work of USPIS on this case handled by the Securities and Commodities Fraud Task Force with Assistant U.S. Attorney Daniel G. Nessim leading the prosecution.
