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Mancini civil proceedings paused until September

Published April 29, 2022
The civil case will proceed after criminal sentencing in August.

NEWARK, N.J. (BRAIN) — A federal judge has approved delaying the civil case against Samuel J. Mancini, the CEO of an investment group that planned to buy up several Italian cycling brands.

Mancini pleaded guilty on April 7 to one count of securities fraud in the criminal case filed against him by federal prosecutors in New Jersey. He will be sentenced on that count on Aug. 17.

Prosecutors said Mancini, the managing director of Outdoor Capital Partners, raised over $11 million from about 40 investors in a plan to acquire De Rosa Cycles, De Marchi Apparel, Limar Helmets and Gruppo Srl, the parent of Cinelli and Columbus. None of the acquisitions were completed. Prosecutors said Mancini used the money for his own purposes and returned some of it to investors in a "Ponzi-like" scheme.

The civil case on related issues was filed by the Securities and Exchange Commission, also in a New Jersey federal court.

After the parties said they were close to a plea deal in the criminal case, the civil court in January paused that case until May 2.

After this month's guilty plea and the sentencing hearing was scheduled, both sides asked to stay discovery until after the criminal sentencing. They said they expect there to be "contested issues" at the sentencing.

On Friday Magistrate Judge Michael A. Hammer approved the latest request, pausing all discovery except from financial institutions until Sept. 7. Samuel Mancini's wife, Diana L. Mancini, is a relief defendant in the civil case and consented to the request. The Mancinis are being represented by separate law firms.

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