Disgraced Club Owner Sentenced

A former Chicago nightclub owner accused of ripping off 27 investors for about $4.7 million in a Ponzi-type scheme was sentenced July 3 to five years in prison.

Anthony A. Demasi pleaded guilty in March to three counts of wire fraud and two counts of commodities fraud and agreed to wear a wire for the FBI in order to entrap some of his associates. He has also been ordered to pay $3.1 million in restitution, according to the Chicago Tribune.

Demasi reportedly conned his friends, family and others into investing in his company, Tsunami Capital, then used the money to fund his nightclubs, Reserve and Crescendo, and pay off gambling debts and earlier investors.