Peter Quartararo allegedly defrauded victims who believed they were investing in DoorDash, Airbnb & Petco; Defendant was arrested in April for similar investment fraud charges
MINEOLA, N. Y. – Acting Nassau County District Attorney Joyce A. Smith announced that a barred investment broker from Glen Cove was arraigned today on charges he stole more than $80,000 from victims who believed they were investing in shares of DoorDash, Airbnb and Petco. This is the defendant’s second arrest this year for investment fraud crimes.
Peter Quartararo, 56, of Glen Cove, was arraigned today before Judge David Levine and charged with grand larceny in the second degree (a C felony), and grand larceny in the third degree. If convicted on the top count, the maximum sentence is five to 15 years in prison. Quartararo is due back in court on October 20, 2021.
“This defendant has now been arrested twice this year for allegedly defrauding multiple victims with the same empty elevator pitch, stealing more than $500,000 in total from his victims and never delivering on his promises,” said Acting DA Smith. “This case further highlights the need for investors to diligently review the credentials and licenses of the financial professionals they work with to ensure they are credible and operating with integrity.”
Acting DA Smith said that in August 2020, Quartararo introduced himself to his first victim at a tenants-only barbeque at the complex he lived in and claimed that he was an investor and a financial advisor. Quartararo allegedly told the victim that he possessed pre-initial public offering shares of DoorDash and Airbnb at $2.00 a share and that he would sell the victim some of his shares. The individual gave Quartararo $11,500 in cash and later wired him an additional $58,000 in exchange for what the victim believed to be pre-IPO shares of Airbnb.
Another alleged victim also met Quartararo at their Glen Cove apartment building in June 2020. Quartararo allegedly introduced himself as being an investor and stated that he could get the victim stocks “on the ground floor” at $1.65 a share. In January 2021, the second victim gave Quartararo $14,000 in cash in exchange for what he believed were shares of Petco at $1.65 each.
Quartararo never delivered any shares to the victims, nor did he provide any financial statements that indicated that the victims owned shares of stock in DoorDash, Airbnb or Petco. An NCDA investigation revealed that Quartararo never purchased any shares on behalf of the victims.
Quartararo and a co-conspirator were both charged in April 2021 with grand larceny and other charges for allegedly stealing $436,000 from four investors who believed they were investing in pre-IPO stock for several high-profile companies, including Airbnb, WeWork and Peloton.
NCDA’s investigation revealed that the defendants never purchased any shares of stock in the pre-IPO companies on the victims’ behalf, and instead allegedly used the funds deposited in accounts that they controlled to purchase food, travel, and vehicles, including a 2020 Mercedes Benz SUV, and as the down payment on Quartararo’s Maserati automobile.
The SEC has confirmed that no shares of IPO stock in Peloton, WeWork, and Airbnb were ever purchased by the defendants.
Peter Quartararo was previously barred from operating as a stock broker in March 2013 by the Financial Industry Regulatory Authority (FinRA).
Both cases are being prosecuted by Senior Investigative Counsel Richard Sikes of the Financial Crimes Bureau. The NCDA Civil Forfeiture Bureau has assisted in identifying any available assets. Quartararo is represented by Gerard Donnelly, Esq.
The Nassau County District Attorney wishes to thank the United States Securities and Exchange Commission for their continued assistance with this investigation.
If you believe you were the victim of an investment fraud perpetrated by Peter Quartararo, please contact the Nassau County DA’s Office Financial Crimes Bureau at 516-571-2149.
The charges are merely accusations and the defendants are presumed innocent until and unless found guilty.