DiCaprio adviser admits $10m fraud

Leonardo DiCaprio was one of the clients stung in the fraud

A Hollywood financial adviser who swindled up to $10m (£6.6m) out of celebrity clients to fund his lavish lifestyle is facing a lengthy prison sentence.

Dana Giacchetto, whose impressive list of customers included Leonardo DiCaprio and Cameron Diaz, broke down as he admitted a charge of fraud in court.

A plea deal with the prosecution means he will get a jail term ranging between three years 10 months and four years, nine months when he is sentenced in November.

Dana Giacchetto broke down in court

The federal court in Manhattan heard 37-year-old Giacchetto had built up his investment business, The Cassandra Group, over the last decade.

The baby-faced entrepreneur became a regular on the Hollywood party circuit, mixing with young actors including DiCaprio, Diaz, Matt Damon and Ben Affleck.

They all became clients, along with singer Alanis Morissette, Friends star Courteney Cox and Ben Stiller.

The court heard he used their money to pay for anything from hotel bills to cars and air fares.

Terrible

When clients complained about discrepancies in their accounts, he would simply pay them what they were owed from other investors' funds.

Giacchetto broke down as he confessed: "This is a terrible day in my life.

Cameron Diaz was another client duped in the $10m scam

"Ever since I was a little boy I thought I was put on this planet to do good things."

He promised he would find a way to pay back all those who were out of pocket and added: "I'd like to apologise to everyone that I've caused harm to."

Giacchetto has already served four months in prison.

His $1m (£660,000) bail was withdrawn earlier this year after prosecutors said he was caught at New Jersey's Newark International Airport with an expired passport, a bag of cash and $44,000 (£29,300) worth of airline tickets.