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Pennsylvania Realtor Joseph Reilly Sentenced For Defrauding Clients

press release December 22, 2014

PHILADELPHIA - Joseph N. Reilly, 69, of Philadelphia, PA, was sentenced today to 26 months in prison for with mail fraud in connection with a million dollar fraud scheme.  According to the information, Reilly, who owned Joseph N. Reilly Real Estate, Inc., diverted more than $1 million in client funds to himself, between January 2009 and April 2011, defrauding approximately 50 clients.  He pleaded guilty on May 29, 2014.

 Reilly, through his company, acted as a property manager for his clients, collecting rent and utilities payments for owners.  He also paid utility and real estate tax bills. Reilly mailed monthly statements to tenants and property owners.  Reilly sent

at least one statement to a property owner indicating that the balance in the owner’s account was $490,565.58 when, in fact, the balance was $86.80. 

 In addition to the prison term, U.S. District Court Judge L. Felipe Restrepo ordered restitution of $668,856, two years of supervised release, and a $100 special assessment.

The case was investigated by the U.S. Postal Inspection Service and is being prosecuted by Assistant United States Attorney Judy G. Smith.

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