Former Kiddar Capital CEO Todd Hitt pleaded guilty to orchestrating eight counts of securities fraud that ultimately cost investors $20 million, according to a plea deal announced Wednesday by the Department of Justice.
Hitt, 54, faces a maximum penalty of 20 years in prison and a fine of $5 million or twice the gross gain or loss, whichever is greater, though DOJ noted in a news release that actual sentences are typically less than the maximum. He is scheduled to be sentenced in federal court in Alexandria on June 21.
If Hitt pays $20 million back in restitution at least two weeks prior to the sentencing date, DOJ will recommend 78 months in prison — 6.5 years — according to terms of the plea agreement. The deal also includes a supervised release term of three years separate from prison time.
The charges were first filed in October, when Hitt surrendered to the FBI on an outstanding arrest warrant. He was released on his own recognizance.
Hitt ultimately admitted to soliciting…Read the full story from the Washington Business Journal.