Jack Kachkar ruined his pharmaceutical company along with one of Puerto Rico’s biggest banks — all “to live an uber-lavish lifestyle far beyond his legitimate means,” prosecutors say.
Now, the 56-year-old former Key Biscayne executive — convicted of financial fraud — will likely spend the rest of his life in prison after being sentenced to 30 years by a Miami federal judge on Tuesday.
U.S. District Judge Donald Graham also ordered Kachkar to pay $103.5 million in restitution to Westernbank, the Puerto Rico institution that collapsed as a result of his loan scam.
During his two-day sentencing hearing, the U.S. Attorney’s Office argued that Kachkar should be punished within the sentencing guidelines for his offense, or 30 years to life. Lawyers with the Federal Public Defender’s Office countered that he deserved a sentence “substantially below” that range, noting the “enormous shame” that the criminal case and related civil litigation have brought to him and his family.
In February, federal jurors in Miami found that Kachkar used $100 million worth of phony receivables as collateral to obtain loans that his pharmaceutical company, Inyx Inc., failed to repay. Kachkar, the former chairman and CEO of Inyx, was found guilty of numerous wire fraud charges stemming from his scheme to use bogus invoices to prop up the financial health of the company so that it could obtain loans from Westernbank.
Read the original article here: miamiherald.com