Owner of Reston-based Financial Firm Sentenced to 12 Years

William Dean Chapman, the owner of a Northern Virginia financial firm, has been sentenced to 12 years in prison for wire fraud.

William Dean Chapman, founder of a Reston-based financial firm, has been sentenced to 12 years in prison.
William Dean Chapman, founder of a Reston-based financial firm, has been sentenced to 12 years in prison.

William Dean Chapman, founder of a Reston-based financial firm, has been sentenced to 12 years in prison after pleading guilty to wire fraud according to the Associated Press

Prosecutors said the Chapman, 44, founder of Alexander Capital Markets, which had offices at Plaza America, cheated investors out of more than $35 million.  

Per the AP:

    "Prosecutors say 122 investors lost a collective $36 million over the years in Chapman's scheme. One investor, an elected official identified in court papers only by the initials A.G., lost $18 million.
      Prosecutors say investors would transfer stock holdings to Chapman as collateral for loans. Chapman then sold the stocks, despite promising investors that they would get back the value of their stocks."
        Chapman tried to withdraw his guilty plea before Friday's sentencing in federal court in Alexandria but was denied."

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        Private Person December 08, 2013 at 09:41 AM
        Who is "A.G."? Why is s/he hiding? Losing $18 million is not insignificant and should be fully disclosed. After all, this person may have influence over millions, billions, or trillions of tax payer dollars.
        Skip Endale December 09, 2013 at 09:11 AM
        I am sure somebody will.step fwd and contradict the situation by saying mr chapman was a friend, a supporter of good causes, and never suspect of any such accusations. Stock loan research shows: http://lawprofessors.typepad.com/securities/2009/10/loan-broker-settles-fraud-charges-involving-stockbased-loan-scheme.html So as a victim in an unrelated fraud case I suggest taking research seriously. A professional looking account statement can easily be cooked. Trading losses on your account may stem from transactions that have never occured. Trading authorization may be delegated to third parties if certain legal forms are signed or altered or plain falsified. Its good some of these professionals are brought to light but there are many many operators still out there and many of themnfind opportunity in unregulated markets like the commodity exchanges in some jurisdictions are especially vulnerable. Educate and good luck.
        Skip Endale December 09, 2013 at 09:16 AM
        @pp. Do your research carefully and do not accuse. Mr chapman tried to withdraw his guilty plea. There may be other players involved. Most likely not apprehended or tangled in the legal process.
        Private Person December 09, 2013 at 09:24 AM
        @endale: Do your own reading, more carefully, and censor your own statements and accusations. There were no accusations in our opinion statement above. The press should / must report complete stories. Politicians must disclose, including their, if your statement is factual vast and epic failure to regulate those who may have defrauded them and society.
        Bob Bruhns December 09, 2013 at 12:25 PM
        If the victims had exchanged stocks for loan money, and the stocks were sold instead of held, then an $18 million loss would have to have been an $18 million jump in the stock price. That had to be a lot of shares of a very interesting stock... and it had to be much more than an $18 million loan. It seems that many of our elected leaders somehow have an awful lot of money. Gee, I wonder how that happens. This one was tossing more than $18 million around.
        Diane Lewis December 10, 2013 at 08:49 AM
        Can't help wondering why our elected leaders tend to grow richer in office...while we the people grow poorer, losing our personal wealth and the commons.


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