A federal lawsuit that was filed last week accuses a financial advisor in Sewickley of embezzling millions of dollars from retirement and profit-sharing accounts.
According to the lawsuit, Paul Palguta is the owner of RiversEdge Advanced Retirement Solutions.
The lawsuit said that since January 2017, RiversEdge has made multiple transfers from a corporate custody account, titled #RERREBTE, which can only hold cash awaiting further disbursement instructions into its own account at PNC Bank. It was later revealed that the account hadn’t received any outside money since the transfers.
The company also used that account to supply a retirement plan in Beaver County with insufficient funds the money it needed so RiversEdge could buy shares from them. The lawsuit specifies that RiversEdge misappropriated money from six different plans in this situation.
The lawsuit said RiversEdge transferred cash from its own account into plan accounts and transferred cash from one plan trust account to another.