Rockland County Man Pleads Guilty To Defrauding Investors In Investment Scheme

United States Attorney for the Southern District of New York, Jay Clayton, announced that SOLOMON LICHTENSTEIN pled guilty today before U.S. Magistrate Judge Victoria Reznik to securities fraud in connection with a scheme to defraud investors in two investment vehicles he managed and promoted.

"Solomon Lichtenstein solicited and received millions of dollars from friends, relatives, and members of his community on the back of false statements and misrepresentations regarding his investment qualifications and strategy, track record, and returns," said U.S. Attorney Jay Clayton. "When investment advisers abuse the trust of their clients and use New Yorkers' hard-earned money for their personal benefit, our Office will hold them criminally accountable."

According to the Information, plea agreement, and statements made in court:

Over a period of roughly two years from July 2022 through August 2024, LICHTENSTEIN defrauded investors in two investment entities he operated. He raised more than $3 million from dozens of victims. LICHTENSTEIN falsely represented to investors and prospective investors that his unique trading and risk mitigation strategies were generating large returns. In reality, he invested less than $600,000 of the funds he received and incurred significant losses on those funds through losing trades. LICHTENSTEIN also took approximately $1 million in investor funds for personal use, including home mortgage payments, travel and dining expenses, and cash withdrawals. Accounting for funds that were returned, investors lost more than $1.5 million through LICHTENSTEIN's scheme.

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LICHTENSTEIN, 30, of Stony Point, New York, pled guilty to one count of securities fraud, which carries a maximum sentence of five years in prison.

The maximum potential sentence in this case is prescribed by Congress and provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge. LICHTENSTEIN is scheduled to be sentenced on July 8, 2026.

Mr. Clayton praised the outstanding investigative work of the Federal Bureau of Investigation. Mr. Clayton also thanked the U.S. Securities and Exchange Commission, which has filed a separate civil action against LICHTENSTEIN, for its assistance and cooperation in the investigation.

The prosecution is being handled by the Office's White Plains Division. Assistant U.S. Attorneys Reyhan Watson, James McMahon, and John Sarlitto are in charge of the prosecution.