[image url="http://static.businessinsider.com/image/4acf6a8e00000000002663d8/image.jpg" link="lightbox" caption="" source="" alt="William Del biaggio boots" align="left" size="xlarge" nocrop="true" clear="true"]
Remember Silicon Valley venture capitalist William “Boots” Del Biaggio?
He was the “young financial god” known for financing IPOs like ShopNow.com and VerticalNet in the 1990s; for co-founding San Jose’s Heritage Bank and investing in the NHL’s San Jose Sharks and Nashville Predators; and for forging documents to get $100 million in loans.
Now he and an accomplice are going to prison. Del Biaggio (pictured here) was sentenced to just over eight years in the big house this September; yesterday, stock broker David Cacchione was sentenced to five years and ordered to pay approximately $50 million in restitution for his role in the fraud.
According to the Dept. of Justice, Cacchione, 44, of Woodside, Calif., was charged in March with one count of securities fraud and plead guilty. Cacchione worked as managing director at Merriman, Curhan, Ford & Co., an investment brokerage firm in San Francisco.
While at Merriman, Cacchione provided Del Biaggio with client brokerage statements, which were then doctored to defraud banks and other lenders of the $100 million. Cacchione also helped Del Biaggio defraud banks by signing false account control agreements and meeting with lenders to create the impression that Del Biaggio owned and controlled these client accounts.
All told, the two caused $47 million in losses.
According to the Mercury News, Cacchione’s lawyers argued he did not gain personally from the scheme and only helped Del Biaggio out of misguided loyalty because the investor had bailed Cacchione out of earlier financial problems.
NOW WATCH: Briefing videos
Business Insider Emails & Alerts
Site highlights each day to your inbox.