Greenwich Investment Group Operator Sentenced to 54 Months in Prison for Stealing more than $3.4 Million in Fraud Scheme

David X. Sullivan, United States Attorney for the District of Connecticut, announced that JUSTIN C. MURPHY, 50, of Stamford, was sentenced today by U.S. District Judge Victor A. Bolden in New Haven to 54 months of imprisonment and three years of supervised release for operating an investment fraud scheme.

According to court documents and statements made in court, Murphy owned and operated Greenwich-based Mara Investment Group, LLC, also known as Mara Investment Management LP and Mara Investments Global Management LLC ("Mara"), which Murphy purported to be a hedge fund that solicited and accepted investments and used a quantitative strategy that balanced long and short positions in securities. Between approximately 2016 and September 2022, Murphy defrauded investors by pursuing a much riskier investment strategy than he told investors; diverting substantial investor funds for his own personal use and benefit; representing to investors that their invested funds were performing more favorably than was, in fact, the case, including providing investors with account statements that falsely representing their account balances; and providing investors with federal tax forms that falsely reported business income upon which investors would be required to pay tax.

Murphy stole approximately $3,465,812 in investor funds through this scheme and used the funds to pay for personal expenses, to purchase a personal stake in his relative's startup company, and then to fund nearly a year of living in luxury hotels in Brazil while avoiding investor complaints and lawsuits.

Judge Bolden ordered Murphy to pay restitution of $3,782,154, which includes losses to an additional investor who had placed money with Murphy prior to the beginning of the charged scheme.

Murphy was arrested in Brazil on December 6, 2023, and was detained for nearly 11 months while awaiting extradition to the U.S. On April 29, 2025, he pleaded guilty to one count of wire fraud and one count of money laundering.

Murphy, who was released on a $250,000 bond on November 1, 2024, is required to report to prison on October 15.

This investigation was conducted by the Federal Bureau of Investigation and the Internal Revenue Service - Criminal Investigation Division. The Justice Department's Office of International Affairs and Brazilian authorities provided assistance. The case was prosecuted by Assistant U.S. Attorney David E. Novick.