Trump commutes prison sentence for this former executive convicted of Ponzi-like scheme

Donald Trump commuted the prison sentence of David Gentile, a former investment manager convicted of defrauding investors. Gentile was the CEO and co-founder of GPB Capital, which raised $1.6 billion. He was sentenced to seven years for misrepresenting the performance of private equity funds to over 10,000 investors. The Justice Department labeled it a scheme to defraud investors. The White House, however, argued that GPB Capital had disclosed the possibility of using new investments to pay dividends. This disclosure, according to the White House, weakens the claim of a Ponzi scheme. Gentile had already reported to prison before receiving the commutation. The government has not ordered restitution in the criminal case. Civil cases are currently addressing repayments and damages for investors. This commutation is the latest in Trump's series of clemency actions for white-collar criminals.