Long-Nosed Puppet Charged With Perjury
After Telling Whale Of A Story
Celebrity financial advisor Dana Giacchetto, once touted as a conservative money manager, allegedly squandered client money on $120,000 in hotel bills, $100,000 in airline tickets, $8,000 in helicopter travel and $55,000 in restaurant bills, including several tabs totaling $15,000 or more, the Los Angeles Times reports.

The allegations are in a federal indictment handed down Tuesday in New York that largely mirror financial fraud charges filed against Giacchetto earlier this month.

The indictment details the lavish spending spree that allegedly helped topple the money manager.

Giacchetto, 37, built a reputation as the financial investment guru to Hollywood's hot young stars, befriending such celebrities as Leonardo DiCaprio, Cameron Diaz and Courteney Cox Arquette as well as ingratiating himself to such established Hollywood figures as talent manager Michael Ovitz.

Early this month, Giacchetto was charged with three criminal counts stemming from his alleged looting of at least $6 million from clients.

Authorities allege Giacchetto routinely requested funds from client accounts at brokerage Brown & Co., then deposited checks made out to his celebrity clients into his banking account at Boston's U.S. Trust, now Citizens Bank.

Tuesday's indictment boosts the amount of misappropriated funds to at least $9 million, including $750,000 from rock group Phish—an amount nearly equal to a lifetime supply of patchouli oil for the band.

With the new indictment, which supersedes the previous charges, Giacchetto now faces five criminal counts and a maximum of 35 years in prison.

Authorities said that they wouldn't know exactly how much is missing until accountants are able to fully examine Giacchetto's books. They note that Giacchetto would frequently shift money in and out of accounts, often replenishing money allegedly taken from one client with money taken from another.

According to the indictment, the $120,000 in hotel bills includes one $80,000 tab for a set of 10 suites at an unnamed Hollywood hotel. Former Giacchetto associates and sources familiar with the legal case identified the hotel as the Chateau Marmont. They added that they believe Giacchetto rented the suites for himself and friends to coincide with his being honored in June by Sweet Relief, a charity for musicians with health problems, in a party at the Hollywood Athletic Club attended by DiCaprio and other celebrities.

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