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Investment Promoter Sentenced

20 January 1999

Investment Promoter Sentenced

    TAMPA, Fla.--Jan. 20, 1999--Louis W. Spiro was sentenced in Federal District Court yesterday to 15 months in prison, followed by three years of probation for securities fraud, mail fraud and interstate transportation of stolen property.
    Spiro was ordered to pay restitution of $337,038 to 19 investors.
    Last October, Spiro pled guilty to the federal charges as a result of a joint investigation with the Department of Banking and Finance (DBF), the Federal Bureau of Investigation, and the U.S. Attorney's office. The investigation revealed between March and June 1996, Dealer Leasing & Sales Inc. sold promissory notes from their office in St. Petersburg, reportedly to fund its wholesale automobile operation. The investments were represented to be collateralized and repaid from the company's automobile inventory; however, a significant portion of the money raised was diverted for Spiro's personal use and other unrelated business activities.
    Spiro entered into a Final Order with the DBF on Nov. 5, 1998, to cease the sale of promissory notes of Dealer Leasing & Sales. The complaint contended that Spiro sold unregistered securities.