44°
Masud, of Jersey City, N,.J., was charged with grand larceny in the first degree, a class B felony and securities fraud under the Martin Act, a class E felony, and faces up to 25 years in prison after he stole
According to the indictment and statements made by prosecutors at arraignment, in 2012, Masud solicited Dr. Kalim Irfani, a 75-year old retired pediatrician, and his wife, Rehana Irfani, of Scarsdale, to invest their retirement monies in RKS Capital, LP, which Masud had created just two weeks earlier, the Attorney General's Office said.
Based on his promises of a secure investment opportunity, the Irfanis gave more than $1 million to Masud, only to have Masud lose nearly their entire investment in a matter of months, according to the Attorney General's Office.
Prosecutors allege that Masud induced the Irfanis to invest with him by falsely representing that his purported hedge fund was a far safer investment than a mutual fund, the office said. Masud was accused of promising to use a conservative strategy that would preserve their $1 million investment, while also earning a high rate of return. Masud further assured the Irfanis that they would be able to track their investment through monthly reports that would be sent to them from an objective third party administrator, the Attorney General's office said.
Masud was arraigned on Monday before state Supreme Court Justice Anne E. Minihan in Westchester County Court. Bail was set at $500,000 bond or $250,000 cash.
Click here to follow Daily Voice Eastchester and receive free news updates.
