Paul Greenwood

Paul Greenwood (born 1947) is a former American money manager and town supervisor who was convicted of securities fraud with business partner Stephen Walsh. Business career Greenwood and Walsh established their first company in 1979 and became partners and executives at the Greenwich, Connecticut-based WG Trading Company. From 1992 to 1996, Greenwood and Walsh had a controlling stake in the New York Islanders franchise of the National Hockey League. Prior to his arrest, Greenwood was the town supervisor of North Salem, New York and a treasurer at the local Episcopal Church. He resigned as town supervisor shortly after his arrest. He had a reputation for generosity in the community. Securities fraud case Greenwood and Walsh were arrested on February 24, 2009, and charged with scheming to defraud investors of $554 million. The scheme, which lasted from 1996 to 2009, defrauded investors, including the University of Pittsburgh, Carnegie Mellon University, Wells Fargo Bank, the Sacramento County Employees Retirement System, and the Kern County Employees Retirement Fund. The scheme involved unauthorized investments and the reporting of "arbitrary return rates" to investors that failed to account for losses. The scheme collapsed following the global financial crisis and a National Futures Association audit that revealed promissory notes used by Greenwood and Walsh to account for losses and withdrawals.