Ex-Credit Suisse Broker Tzolov Is Fugitive, Prosecutors Say

[Joanne98]

Source: Bloomberg

June 6 (Bloomberg) -- Julian Tzolov, a former broker for Credit Suisse Group AG who’s accused of fraudulently selling clients subprime mortgages linked to auction-rate securities, is a fugitive, U.S. prosecutors in Brooklyn, New York said.

Tzolov, who has been free on bail, was subject to home confinement with electronic monitoring, federal prosecutors said yesterday. He left his home on May 9 without permission from court officials and remains a fugitive, they said.

An arrest warrant was issued for him May 11 which remained under seal to allow federal authorities to investigate his disappearance, said Assistant Brooklyn U.S. Attorneys Daniel Spector and Greg Andres in a letter to the court.

“The government’s investigation strongly suggests that Tzolov is currently attempting to avoid apprehension,” prosecutors said in the letter.

“We have not been able to locate Mr. Tzolov for several weeks and we don’t know where he is,” Benjamin Brafman, his lawyer, said in a telephone interview. He declined to comment further on the case.

Tzolov, a native of Bulgaria, has been free on $3 million bond since his arrest last Sept. 4 at John F. Kennedy Airport in Queens, New York by agents of the Federal Bureau of Investigation. He had been returning from Sofia, Bulgaria when charges were first filed against him.


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