A Linwood man accused of orchestrating a long-running securities fraud while embezzling from his employer pleaded guilty last week.
Joseph Geromini, 56, admitted to one count of wire fraud in federal court. In exchange, the other 11 counts of the indictment will be dismissed at sentencing.
While the indictment doesn’t name the Philadelphia-based company, a civil suit identifies it as Group K Diagnostics.
The biotechnology company based in Center City sued former COO Geromini in 2019, in a filing that partially mimics the criminal allegations he now faces.
Geromini began working for Group K in July 2018, through his consulting business, Xanitos Marketing LLC, which shares his address on Arlington Avenue in Linwood.
On Aug. 3, 2018, he was hired as chief operating officers. That apparently lasted 10 months, according to the lawsuit.
In that time, he allegedly sent himself more than $150,000 of the company’s money via wire transfers, including one that was $50,000.
The then-chief operating officer also used the company’s credit card, debit card and checks to pay for personal items, including a suite at the 76ers game and $5,750 to a Bryn Mawr plastic surgeon for a friend.
Geromini allegedly said the money was paid to the hospital so that the company could conduct clinical trials there.
The charge carries a maximum sentence of 20 years in prison and a $250,000 fine.
Under the plea agreement, the state would not pursue further charges related to the securities and wire fraud scheme connected to the investors in the technology startup.
The other 11 counts of the indictment will be dismissed, but the judge can consider them in deciding
Geromini's sentence.
Sentencing is scheduled for April 24.
This is not Geromini’s first criminal charge.
He was sentenced to two years’ probation for writing bad checks in 2007 in Warren County, court records show.
The next year, he was charged with theft by unlawful taking of more than $75,000. He was given three years’ probation under a plea agreement in 2010.
At the time of his charges, Geromini was one of three partners listed for Constitution Partners Group, a consulting firm.
His biography — which is no longer listed — called him “a seasoned executive with over 28 years of experience managing high level corporate operations.”
