FRAUDSTER DUPED SENIORS, SPENT $1.2M ON LUXURY!

SEC v. Anthony J. Mastroianni, Jr., Global Business Development and Consulting Corp. — U.S. Securities and Exchange Commission Litigation Release No. 26396, dated September 10, 2025.

The SEC obtained a final judgment against Anthony J. Mastroianni, Jr., a former broker who defrauded senior citizens in a $1.2 million promissory note scheme. He promised exorbitant interest rates, but instead used investor funds for personal luxury items. Mastroianni was also sentenced to prison in a parallel criminal case.

In Plain English

Imagine someone promising you a super-high interest rate on your savings, like 50% or even 175% – way more than a regular bank. This person, Anthony Mastroianni, did just that, targeting older people. But instead of investing their money to earn that high return, he took the money for himself to buy fancy things. He was caught and is now going to prison, and the SEC has stopped him from doing this kind of fraud again.

Disclaimer: all facts are drawn from the SEC's own filings; the claims described are allegations unless and until a court rules or the parties settle, and some cases end in dismissal.

How the Alleged Scheme Worked

1. Promise of Unrealistic Returns From at least February 2017 to May 2022, Anthony J. Mastroianni, Jr. promised investors exorbitant interest rates ranging from 50% to 175% on promissory notes issued by his company, Global Business Development and Consulting Corp.
2. Targeting Vulnerable Investors Mastroianni specifically targeted senior citizens, inducing investors ranging in age from 64 to 82 to purchase these high-yield notes.
3. Conflicting Business Explanations He provided investors with unclear and conflicting explanations about the actual nature of Global's business operations, making it difficult for them to assess the legitimacy of their investments.
4. Encouraging Rollovers Mastroianni often convinced investors to 'roll-over' their existing notes into new ones. This involved combining unpaid amounts with new investments, potentially obscuring the true status of their original funds.
5. Misappropriation of Funds Instead of using investor monies to generate income as promised, Mastroianni allegedly withdrew investor funds from Global's bank account.
6. Personal Use of Stolen Money These ill-gotten funds were then used for Mastroianni's personal expenses, including the purchase of luxury items.

The Enforcement Action

SEC Obtains Final Judgment Against Former Broker Who Targeted Senior Citizens in an Offering Fraud. On September 10, 2025, the Securities and Exchange Commission obtained a judgment against New Jersey resident Anthony J. Mastroianni, Jr., a barred broker whom the SEC previously charged in connection with a $1.2 million fraudulent promissory note scheme targeting older Americans. In a parallel criminal proceeding, United States v. Mastroianni, Crim. No. 23-717 (D.N.J.), on February 8, 2024, Mastroianni was sentenced to 45 months in prison followed by 3 years of supervised release for the $1.2 million investment fraud and for fraudulently obtaining a loan of approximately $96,000 meant for small businesses during the COVID-19 pandemic. Mastroianni was also ordered to pay restitution and forfeiture of $1.3 million. In light of Mastroianni’s sentence, restitution, and forfeiture in the parallel proceeding, on September 8, 2025, the SEC advised the Court that it does not intend to pursue its remaining monetary relief against Mastroianni. Mastroianni consented to entry of a final judgment permanently enjoining him from conduct violating Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5 thereunder and Section 17(a) of the Securities Act of 1933. This judgment concludes the SEC’s litigation in this matter.

Named in this action: Anthony J. Mastroianni, Jr., Global Business Development and Consulting Corp..

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