Tech Founder Convicted of $20 Million Fraud Scheme Targeting Investors

Bernhard Eugen Fritsch, founder of StarClub Inc., used investor funds for a lavish lifestyle and now faces up to 20 years in federal prison.

Bernhard Eugen Fritsch, 63, was convicted of one count of wire fraud for defrauding investors out of over $20 million between 2014 and 2017.
Fritsch falsely claimed that his company, StarClub Inc., had secured deals with major companies like Disney and generated $15 million in revenue in 2015.
Instead of investing in the promised app for celebrities and influencers, Fritsch spent the funds on luxury cars, a yacht, and a Malibu mansion.
Law enforcement has seized Fritsch’s assets, including a McLaren, Rolls-Royce, and yacht, which are subject to forfeiture proceedings.
Fritsch remains free on bond while awaiting sentencing, where he faces a maximum sentence of 20 years in federal prison; additional lawsuits against him are ongoing.