No menu items!

COSTA RICA'S LEADING ENGLISH LANGUAGE NEWSPAPER

HomeArchiveTico accountant sentenced to 4.5 years in prison in U.S. insurance scam...

Tico accountant sentenced to 4.5 years in prison in U.S. insurance scam trial

A U.S. court in Richmond, Virginia, on Friday sentenced Costa Rican accountant Jorge Luis Castillo to 4.5 years in a federal prison for cooking the books of a company owned by businessman Minor Vargas as part of a $485 million life insurance scam, Business Week magazine reported.

Castillo received a reduced sentence after testifying against Vargas in the trial. Castillo admitted to fraudulent accounting practices on behalf of Provident Capital Indemnity Ltd., and apologized for his role in the global scheme that claimed thousands of victims, including many who lost their life savings.

“I regret from the bottom of my heart the consequences of this unscrupulous scheme of which I was a part,” Castillo told U.S. District Judge John A. Gibney.

Castillo is the ninth and final defendant sentenced in Virginia in a pair of related cases involving the life settlement industry. Most pleaded guilty, but Vargas and two principals of Houston-based A&O went to trial and were convicted.

In October, Vargas was sentenced to 60 years in prison for the crimes of fraud and money laundering. He was president and owner of Brujas Football Club and Club Deportivo Barrio Mexico, both in Costa Rica. He also was president of powerhouse soccer club Saprissa, and the owner of publishing company Icon Group and a synthetic turf business.

Trending Now

El Salvador Permits Life Sentences Starting at Age 12

Salvadoran President Nayib Bukele signed reforms into law that permit life prison sentences for people convicted of serious crimes starting at age 12. The...

Costa Rica’s Poás Volcano Records Unusual Crater Collapse and Lake Surge

An unusual eruption inside Poás Volcano on April 10 sent ash into the air, pushed the crater lake up by as much as three...

Costa Rica Sees Increase in Reckless Driving Cases on Major Highways

Costa Rican prosecutors are warning about a rise in reckless driving on some of our country’s busiest roads, saying the pattern is feeding more...

US Sanctions Sons of Daniel Ortega and Seven Nicaragua Gold Companies

The United States Treasury Department imposed sanctions the two sons of Nicaraguan President Daniel Ortega and Vice President Rosario Murillo along with seven gold...

Air Transat to Start Direct Quebec City Flights to Costa Rica

Air Transat will add a new nonstop route between Quebec City and Costa Rica starting December 15, giving travelers a direct link from Jean...

El Salvador Adds New Tools in National Health App to Track and Treat Chronic Conditions

El Salvador President Nayib Bukele announced the start of the second phase of Dr. SV, a public health application developed with Google Cloud that...
L. Arias
L. Arias
Reporter | The Tico Times |

Latest News from Costa Rica

Costa Rica Coffee Maker Chorreador
Costa Rica Coffee Maker Chorreador
Costa Rica Travel Insurance
Costa Rica Travel