Crime & Safety
Report: Florida Congressman Loses $18 Million in Reston-based Fraud Case
Alan Grayson's $18 million lost was part of an overall $36 million loss by investors in Alexander Capital Markets.
Florida Rep. Alan Grayson (D-9) was one of the victims hardest hit by the financial misdealings of Reston-based Alexander Capital Markets, losing $18 million, according to Reuters.
In total, 122 investors lost $36 million, reports the Associated Press.
The founder of Alexander Capital, William Dean Chapman of Sterling, was sentenced to 12 years in prison for wire fraud last week. The Securities and Exchange Commission accused Chapman of fraudulently accepting loan payments and trading securities "based on false promises."
According to the Reuters report, Alexander Capital Markets "sold stocks and other securities belonging to Grayson without his knowledge or consent, at a time when they should have been held as collateral."
The report notes Grayson has made headlines recently after comparing the Tea Party to the Klu Klux Klan, as well as other "incendiary" remarks about Republicans.
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