Metro

Fraudster must sell his mansion and pay $67M after guilty plea

A Long Island Ponzi schemer who used investor money to fund his lavish lifestyle including the purchase of a massive Montauk property pleaded guilty Tuesday in federal court in Long Island and faces up to 40 years in prison.

Brian Callahan, 44, sucked in more than $118 million from duped investors through his Old Westbury office and used the cash to splurge on personal purchases including the Panoramic resort.

Callahan had hoped to break up the property into individual condos and to sell them off at a massive profit.

But his Ponzi scheme eventually collapsed and he was busted on federal fraud raps.

As part of his plea deal, Callahan must pay back a staggering $67 million in restitution that includes the sale of his Old Westbury mansion and a Westhampton condo.

“Through lies and deceit, he misled investors and stole investor funds, including investments from a local fire department, to support a lavish lifestyle and operate a multi-million dollar Ponzi scheme,” said U.S. Attorney Loretta Lynch in a statement.

Callahan managed to convince more than 40 victims that he would invest their millions into mutual funds and other accounts but kept nearly $96 million to support his luxury tastes and to fund new schemes, according to the feds.