Two men who sold DVD vending machines out of Hollywood were convicted Friday of fraud charges in federal court in Miami, according to the U. S. Attorney's Office.
Edmond Grigorian and Cesar Menendez were part of a scheme to fraudulently sell a business opportunity involving DVD vending machines. The two used false information about the company, including exaggerated profit projections and fake references, to lure investors who contributed a total of $19 million. Sentencing is scheduled for January.
American Entertainment Distributors Inc. was in business from November 2003 to September 2004, when the Postal Inspection Service executed a search warrant and the Federal Trade Commission obtained a court order that shut down the business.
Seven other people already have been convicted in the scam, prosecutors said.
Story source:
sun-sentinel.com.
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