Donald Trump has granted clemency to David Gentile, a private equity executive who recently began serving a seven-year federal prison sentence for what prosecutors characterized as a $1.6 billion fraud scheme, according to reporting by the New York Times.
Gentile, 59, the founder and former CEO of GPB Capital, was convicted in May for defrauding thousands of individual investors. He entered federal custody on 14 November but, according to the Federal Bureau of Prisons, was released on Wednesday, 26 November.
At the time of his sentencing, Joseph Nocella Jr., U.S. attorney for the Eastern District of New York, stated that the punishment should serve as a warning to anyone attempting to enrich themselves by exploiting investors.
Regulatory filings allege that investor funds were diverted to cover luxury expenses, including private jet travel with a $90,000-per-year flight attendant, all-terrain vehicle rentals, and more than $29,000 in costs an auditor linked to Gentiles 50th birthday. The states complaint also states that GPB paid $355,000 for a 2015 Ferrari FF used by Gentile.
In 2021, New York attorney general Letitia James filed a civil action against GPB Capital, Gentile, and two other executives, seeking restitution for investors. She said participants had contributed more than $1.8 billion to GPB funds but were left without a single cent of profit, while company leaders subsidized their own lavish lifestyles.
The New York Times noted that it remains unclear whether Gentile had any personal or political ties to Trump. Attorneys for Gentile and co-defendant Jeffrey Schneider declined to comment, and Gentile did not respond to inquiries.
As of Sunday, details of the commutation had not yet appeared on the Department of Justice website.
