Trump shortens former private equity CEO David Gentile's 7-year prison sentence just days after it started

WASHINGTON President Donald Trump has commuted the seven-year prison sentence of former private equity executive David Gentile just days after he began serving his term, according to a White House spokesperson. Gentile, who was sentenced in May for wire and securities fraud, started his incarceration on November 14 and was released on November 26, confirmed Bureau of Prisons representative Donald Murphy. Alice Marie Johnson, the White House's pardon coordinator, also verified the release on X.

Gentile, co-founder and CEO of GPB Capital Holdings, was convicted in August 2024 by a federal jury for conspiracy to commit securities fraud, conspiracy to commit wire fraud, securities fraud, and two counts of wire fraud. The U.S. Attorneys Office for the Eastern District of New York, which pursued the case during the Biden administration, stated that Gentile was involved in a long-running scheme to defraud over 10,000 investors by misrepresenting fund sources and revenue of three GPB investment funds.

Gentile faced charges alongside Jeffry Schneider, owner of a marketing company that promoted GPB funds to investors. A White House official challenged the Biden-era DOJs accusations, stating that GPB consistently issued annualized distributions and had informed investors in 2015 that some distributions might come from investor capital rather than current earnings. "Despite these disclosures, the Biden DOJ labeled this a Ponzi scheme," the official added. "Trial evidence did not link any false statements directly to Mr. Gentile, and there were concerns about false testimony that the government failed to correct."

Gentile's legal team has not yet commented on the commutation. Meanwhile, New York Attorney General Letitia James had filed a civil lawsuit against Gentile and co-defendants in 2021, which remains unresolved. A source familiar with the case confirmed that Trump's commutation does not affect the ongoing civil proceedings.

Since assuming office, Trump has issued numerous pardons and commutations, including those of Jan. 6 defendants and multiple individuals convicted of fraud. Notable examples include Paul Walczak (tax convictions), reality TV personalities Todd and Julie Chrisley (fraud and tax evasion), former Rep. Michael Grimm (tax fraud), former Rep. George Santos (wire fraud and identity theft), and Binance CEO Changpeng Zhao (money laundering-related charges).

Author: Sophia Brooks