U.S. Department of Justice seal

A former financial advisor from Potomac Falls pleaded guilty July 20 to federal charges of wire and investment advisor fraud in connection to an alleged scheme to steal upward of $6 million, according to the U.S. Department of Justice.

Authorities said Michael Barry Carter, 47, previously worked for an unnamed financial institution at its Tysons Corner location. From 2007 until last year, Carter allegedly made more than 50 of unauthorized transactions from investment accounts that were under his authority and maintained by five separate victims.

Per the DOJ, he defrauded the five victims of a total of at least $5 million during this period by submitting falsified internal bank authorization forms.

One victim and her adult daughter reportedly discovered Carter's fraud when they applied for a bridge loan from his financial institution and discovered an $800,000 loan had already been obtained in the victim's name.

After being fired from his job last July, Carter admitted to the illicit activity during a call with his former colleagues on Aug. 2, 2019.

He additionally admitted to having embezzled more than $50,000 from an unnamed, nonprofit sports organization in Loudoun County, officials said.

In Carter's many years of fraudulent activity, the DOJ said he ultimately stole approximately $6.149 million, about $1.794 million of which has so far been returned to his victims.

Carter has also reportedly repaid the Loudoun nonprofit for its losses. Per the DOJ, more than $1 million of the funds he repaid was done through transfers from other victim accounts.

The Justice Department says Carter faces a maximum sentence of 20 years in prison for wire fraud and a maximum sentence of five years for investment adviser fraud.

He is scheduled for sentencing Nov. 9.

(17) comments

chrisnich

"Editor's note: A booking photo for Carter was not immediately available."

.....And the number of comments are reduced by half!

EdMyers

If the DOJ can write press releases with "Potomac Falls" as the place name when the address has a zipcode of 20165, why can't the LCSO do this too instead of attributing all crime in zipcode 20165 to Sterling which is zipcode 20164?

Hodor

What an idiot. No way would I trade 20+ years of freedom for 6 million dollars.

KK153

funny.... cause most people trade way more than 20 years for alot less than 6 million

Hodor

Except that is not the risk/reward scenario those people are facing, whereas this man did this anyway knowing there was a risk of ending up in prison. If you offered someone $6M with the caveat that they would randomly have to serve a lengthy prison sentence they'd be an idiot to take it.

Notalib

Some people.are going to vote away their freedom this November by casting a vote for a democrat

EdMyers

$6M-$2M returned =$4M / 20 yrs = $200K/yr. The insurance company covering the victims' losses will no doubt try to claw some of that back if they can find where he stashed it.

Hodor

I'm sure they'll try to extract it from him first, but I believe Morgan Stanley will ultimately be on the hook for the money.

ace10

Unnamed financial institution?

Rock-solid reporting by LTM!

It was Morgan Stanley.

Loudoun4Trump

Give him the 20 years.....Im sure he'll be out in 2,,,,,

DarkHelmet 1983

If he is sentenced to 20 years he won't be out in 2. Having said that, he probably will only be sentenced to 10 years or so and with good behavior be released in 3-4 years.

LoudounPulse

I'm sure his second home is in Ashburn.

Chris McHale

Sure, now its PFalls.

Loudounone

He might work in Potomac falls but probably lives in ashburn - amiright Cindylou?

JustMe

Let's not stir this up again. Simple answer, Potomac Falls is the location the Justice Department used in the official press release.

Chris McHale

But the last time was so much fun.

gtrunner

+1 - white colla, pfalls. Murder colla, Sterling holla!

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