Ex-Investment Firm Official Admits Stealing $10.4-Million

Federal prosecutors say a New Jersey man has admitted embezzling more than $10.4 million from the investment management firm where he served as chief financial officer.

Thirty-nine-year-old David Newmark of Montville surrendered to authorities Wednesday and pleaded guilty to wire fraud and tax evasion charges. He faces up to 25 years in prison when he's sentenced April 24 and also will have to make full restitution.

Newmark stole the money from Short Hills-based Columbus Hill Capital Management. Prosecutors say he created a phony account to collect fraudulent deposits between February 2008 and March 2011 and diverted the funds to bank accounts he controlled.

Newmark's lawyer, Michael B. Himmel, said his client has a "significant" gambling problem.

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