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Duluth man sentenced to prison for stealing $2.5M from investors


MADISON, WI (WTAQ) - A federal judge in Madison has sentenced a Duluth Minnesota man to six-and-a-half years in prison, for stealing $2.5 million from investors.

Judge Barbara Crabb refused to let 67-year-old Garry Milosevich get an early parole. She also told him to pay back $775,000 to 19 victims of his investment scheme.

Milosevich pleaded guilty in January to wire fraud. He was captured in Honduras last year after his partner in the scheme, Daniel Tepoel, was sentenced in 2008 to 11-and-a-half years behind bars.

Authorities said the two claimed to have access to international trading programs that never existed. They said their investors were guaranteed to make money. But instead, they lost their entire $2.5 million in principal – which Milosevich and Tepoel used to travel, and buy construction materials for a resort in Grenada that never worked out.