Martinas B.

The Story of Gary Jay Gross

by Martinas B. February 19, 2008

broker_.jpgFrom a diligent business student at Hofstra University to unscrupulous broker, shortly before filing for his first bankruptcy, this is a story of Gary Jay Gross, the man who tricked many of his clients - the man who has been spending investors' money without pause.

Expensive clothes, a Jaguar XJ, a home and country club membership at the Boca Raton Polo Club started raising questions: Where did Mr. Gross get money from? Did he win in a lottery? No!

Investigation

The FBI recently launched an investigation into a case that shows losses nearing $20 million in the past decade - the numbers rising with more clients emerging, according to arbitration claims.

It is thought that the self-styled stockbroker has been promising for years to his clients that he was honoring his pledges - in some cases, boasting double-digit returns on their investments.

But what the elderly clients say they didn't know: The charismatic broker was wiping out their accounts in risky, highly volatile securities - losing millions - while racking up huge commissions for himself, according to arbitration complaints.

Along the way, investors say, he falsified reports to cover his tracks and hide the losses.

Some of the clients have even put their homes up for sale, while others are trying to get help from bankruptcy lawyers.

Gross has tried to distance himself from the scandal, resigning in January from the Boca Raton brokerage where he worked for five years. He has not been charged with any crimes.

The firm has paid nearly $3.8 million to some of the former investors.

For now, Gross, age 56, says he doesn't want to talk about the investigation. ''These clients had investments that went down,'' he said. "It's that simple.''

Nearly all Gross' investors said they trusted him, in part because of the devotion he showed to Orthodox Judaism. Sometimes, he would wear his prayer shawl to the office.

Gross spent more than $1 million in the past 18 months, including money going to support his adult sons and for his own household expenses. His credit-card bills show that he paid for everything from iTunes downloads to $500-a-night rooms at the Loews Regency in Manhattan.

Gross said he even bought a new set of teeth for his mother-in-law.

Comments 14

1. Guest
September 22, 2008, 04:01PM

Quotes My husband and I were victims of Gary Gross. Our entire future was lost due to him. All I ever said to Gary was "I trust you never to touch the principal" and he agreed. Each month he wired me $6-7 thousand dollars (return on my investments)he also assisted us in securing mortgages, using cut and pasted statements showing our net worth at almost one million dollars when actually he used up all our money and left us with 45K when he absconded.
we are stuck with 4 mortgages that we can't afford at all and properties that we can't sell
we are facing foreclosure
hopefully Gary is enjoying his life since others arent
I really hate him and what he has done.

2. Guest
July 18, 2008, 10:40AM

Quotes Gary (and John Page, and later Dave) had wined and dined my Ms. Ezersky, her husband (when he was alive), and the extended family as well when they came to Florida to visit - he insisted on it, and even chose the desserts.

Joan Ezersky never paid for any of her son's divorce expenses. She had offered to help her son out with a case concerning custody, and did, until she found out that her accounts had been drained. Gary even sold her (on a great tip), the ***ty stocks that he was personally dumping (as he did for many of his "special clients"). He unloaded his bad investments on those who he was to be watching out for, all the while making commissions on the trades as well. The entire entity (the company whose stocks were being traded) and its practices were then subject to great scrutiny and forensic investigation for some type of fraud in their published numbers (as the entity was being sold).

This is only a msattering of what was observed. Take this as good information from one whe knows firsthand...

3. Guest
June 05, 2008, 07:58PM

Quotes Were very surprised you don't have the chutzbah to answer us because you know what kind of crap you both are

4. Guest
May 31, 2008, 02:58PM

Quotes hope you are enjoying the money you screwew me & lots of other people out of. how is your compadre john page doing. I look forward to meeting up with you both one day& then it will be my turn to screw you.

5. Guest
May 30, 2008, 07:59PM

Quotes Mr Gross had a partner who he worked together with. I personally would like to see them both put in jail & have the key thrown away. They sold me annuties that if I got ahold of them I would shove them up their behind. Let them come & tell me I don't know what i'm talking about.I still live in boca & I would be very happy to see them

6. Guest
April 15, 2008, 11:01PM

Quotes I knew Gary Gross, his wife and children for a brief time, when I lived in Boca Raton.
You had to be a complete moron not to see that he was the biggest slim bucket this side of the Missippi.
He lived in Boca because he was not smart enough to make it anywere else.

7. Guest
March 25, 2008, 06:42PM

Quotes Hey Steve, Phil and Alan.. (or is it really Gary Gross) How would you know what Mrs. Ezersky did or did not do? Gary Gross is a sociopathic thief and liar. He put a 99 year old woman on margin, he stole from a holocaust survivor, he stole from a blind woman who couldn't read her statements(of which Gary was only too pleased to do for her). People's lives have been ruined by this snake. His next home will be jail with a roommate named "Bubba" of that you can be sure.

8. Guest
March 12, 2008, 06:24PM

Quotes WHO were his supervisors? the managers of the office? sales Managers, office & operation managers? These are the people who also need to be looked closely at. I would bet that they shared in any fees, commissions, etc through some soft dollar or even cash arrangements. If the FBI is really getting involved here, I would imagine that there may be others in the office who followed along, but saw dollar signs while Gross was stealing from his congregation & friends.

9. Guest
March 07, 2008, 11:07AM

Quotes Whoever wrote this was a retard, and I mean that seriously. It takes two clicks to realize that Gross always resigned, as most brokers do when they switch firms. Also, where are the big commissions?

10. Guest
March 07, 2008, 11:06AM

Quotes Didn't the firm settle fast as a sign of their guilt? After all, Joan, isn't the firm responsible for due diligence in investment banking deals?

11. Guest
March 06, 2008, 03:45PM

Quotes lets not forget joan what gary did for you. You used all your money for your sons divorce and trying to get his kids. ... you call gary the devil and your going after him after all he did.. when you leave this earth joan, its going to be you who has to justify what you did to gary not the other way around.. good luck..

12. Guest
March 06, 2008, 03:40PM

Quotes lets remember that mr gross never recruited clients from his temple.. they actually were brought into the temple after already being client. Mrs. Joan ezersky actually made Mr gross take her out dozens of times for dinners.. Mrs Ezersky is not homeless and none of the other clients are homeless. One drives a ferari and one has a bentley.

13. Guest
March 01, 2008, 03:33PM

Quotes I forgot to add that other firms Gary Gross worked for just forgot to inform their clients that they had a "bad apple) in their offices. Not a single firm we worked for, and for us there were 4, let us know that he was allowed to "resign" or actually fired him for cause. Where was the oversight from Florida or the SEC? No one listened when asked the hard questions. No action was taken years ago that could have many people many dollars - and their health!

14. Guest
March 01, 2008, 03:25PM

Quotes As one of the "taken" I am hoping to see him in handcuffs, especially since he managed to cash in an annuity of mine which I didn't learn about until the IRS sent me a year end statement. That money was used to pay off bad stock debts he ran up in my name. And he has files for a second bankruptcy in Florida. Did you know that other states turned him down for a broker's license an Florida gave him another which he used to work his"magic"? Scandals galore!

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