A former business manager, who is said to have represented celebrities such as Beyoncé and Mariah Carey, faces federal charges after pleading guilty of embezzling over $7 million. Jonathan Todd Schwartz, 48, of Los Angeles, was charged with wire fraud and filing a false tax return that falsely reported the embezzled funds as “sundry/personal expenses.” Schwartz admitted to stealing close to $5 million, from May 2010 and January 2014, that belonged to his then client, singer Alanis Morissette. Schwartz also stole another $2.3 million from five other clients. Those clients were not named in the court documents or disclosed to attorneys. Schwartz’ attorney Nathan Hochman said his client fully cooperated with investigators and accepted responsibility for his actions. However, when he was initially approached about the crime, Schwartz lied and said that he had invested the money in an illegal marijuana grow house. Schwartz has been offered a plea deal, which calls for him to serve 4 to 6 years in federal prison. However, the judge could sentence him up to 23 years based on his charges. While at GSO Business Management, Schwartz provided financial management and advice to some of the nations biggest celebrities. 50 Cent, Katy Perry, for instance, are former clients of the firm. Source: Billboard
