The owner of a now-defunct sleep disorder company has been sentenced to 10 years in prison after pleading guilty to bilking investors out of more than $4 million.
On Thursday, Jan. 17, Kenneth A. Dachman was sentenced to 120 months in prison on 11 counts of wire fraud and was ordered to pay his victims more than $4 million in restitution. U.S. District Court Judge James B. Zagel also ordered Dachman to be placed on three years of supervised release after serving his prison sentence.
According to court documents, Dachman convinced at least 51 people to invest money into his sleep disorder businesses, Central Sleep Diagnostics, LLC, and Advanced Sleep Devices, LLC, in Northbrook, IL.
However, instead of investing the funds he obtained from investors back into his company, Dachman used the money to purchase a 2008 Land Rover, a $40,000 trip to Las Vegas, payments of more than $180,000 into a tattoo parlor owned by his son-in-law, as well as antique books and vacations to Italy and England.
Dachman’s companies were shut down in 2010.
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