A social media influencer who provided financial advice to over a million followers has pleaded guilty to wire fraud and aiding in a false tax filing in connection to defrauding investors out of more than $11 million.
Tyler Bossetti, of Columbus, Ohio, Bossetti used his social media prominence to highlight his property flipping business and promised investors they could enjoy returns of 30% or higher. Bossetti received more than $20 million in investments between September 2019 and June 2023 but used most of the money on personal luxury expenses and unsuccessful cryptocurrency investments.
The 31-year-old Bossetti, who has 1 million followers on Instagram and thousands more on YouTube and Substack, attempted to camouflage his losses by using the traditional Ponzi Scheme trick of paying back his earlier investors with funds from new investors. However, he also faced about a dozen civil lawsuits from investors who lost their money.
His most recent effort to lure investor money came on April 25, when he used a Substack posting to solicit input from people seeking to improve their credit scores.
The plea agreement further detailed that Bossetti also caused the issuance and filing of approximately 14 false and fraudulent 1099-INT tax forms. The defendant filed the IRS forms to report interest income for investors who did not earn interest. Bossetti claimed he had reinvested victims’ interest earnings when in fact he did not.
A sentencing date has not been scheduled. Wire fraud is punishable by up to 20 years in prison and aiding in a false filing carries a potential maximum penalty of up to three years in prison.
Photo courtesy of Tyler Bossetti’s Substack page
