Joshua Gayl, the former general counsel of VO Financial Corp., was sentenced Wednesday to a year in prison for conspiring to obstruct justice in a federal criminal case against his boss.
U.S. District Judge Noel Hillman of the District of New Jersey also sentenced Gayl to three years of supervised release and ordered him to pay a $5,000 fine. But it could have been worse. The obstruction charge carries a maximum of five years in prison and a $250,000 fine.
Gayl's attorney, Ellen Brotman, founder of Brotman Law in Philadelphia, said: "I was disappointed that the judge felt incarceration was necessary for an adequate punishment." Brotman had argued for Gayl to be sentenced to home detention.
"In my opinion, home detention and the other consequences he has endured are more than adequate punishment," Brotman added. Among those consequences, she said, are the loss of his license and livelihood, and the public humiliation of being convicted of a crime.
Gayl had reached a plea deal with prosecutors from the U.S. Attorney's Office in New Jersey last March. He pleaded guilty to one count of conspiracy to obstruct justice.
According to court documents, CEO Adam Lacerda and others were charged in April 2012 with conspiracy to commit mail and wire fraud at their company, the Vacation Ownership Group. The company offered phony consulting services to owners of timeshare condominiums.
After the charges were filed, VO Group changed its name to VO Financial, and Gayl was hired as general counsel before Lacerda went to trial the following year. The company is located in Egg Harbor Township, New Jersey.
VO Financial's LinkedIn website describes the company this way: "The VO Financial Corporation specializes in helping victims of timeshare fraud, misrepresentation, and or predatory lending practices. VO Financial Corporation offers specialized financing options to consumers who have otherwise been denied."
"VOFC is the largest timeshare consulting firm in the world and understands the difficulties of timeshare owners can face," the description continues. "We do not care about your past history because we focus our energies on providing you with a brighter future."
Gayl admitted that he had tried to convince a witness against Lacerda that the witness was confused over false promises made to him to sell his timeshare, and told the witness: "We do not sell timeshares."
The former GC was also accused of helping Lacerda alter a tape recording that was turned over to prosecutors as evidence under a subpoena, and of helping the defendants send payments to potential trial witnesses that were intended to influence witness testimony.