Report: Former financial advisor sentenced to 2 years prison aft - FOX Carolina 21

Report: Former financial advisor sentenced to 2 years prison after cheating clients out of more than 3M

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SPARTANBURG, SC (FOX Carolina) -

A former financial advisor from the Upstate was sentenced to 2 years in prison after cheating his clients out of more than 3-million dollars, the attorney said.

Claus C. Foerster, 56 of Spartanburg, was a financial advisor employed by national investment counseling firms from 1997 to 2014. In 2000, Foerster began stealing money from his clients through a scheme where he told his clients he had located better investments than their current portfolio, the report said.

He would tell his clients that to get the investments they had to take their money out of Foerster’s employers’ accounts and transfer them into his account. Foerster then used those funds for his own use, according to the report.

On occasion he would create bogus account statements and return some of the funds to his clients as “profits” and was able to keep the scheme going for over a decade, said the report.

District Judge Bruce Hendricks sentenced Foerster to serve 24 months in prison to be followed by supervised release for three years. He was also ordered to pay $3,543,829.48 in restitution to the victims.

He was sentenced on Tuesday for multiple counts of wire fraud.

The case was investigated by the United States Secret Service and prosecuted by AUSA David Stephens of the Greenville Office.

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