Andrew Franzone, NASCAR collector and race team owner, confesses to securities fraud

Andrew Franzone, a well-known NASCAR collector and race team owner, has recently pleaded guilty to securities fraud, marking a significant development in his legal troubles. As a former business associate of NASCAR Truck Series champion Mike Skinner, Franzone’s fraudulent activities have affected numerous individuals, including drivers and race fans who fell victim to his hedge fund scheme.

According to reports, Franzone deceived around 100 people in a securities and wire fraud scheme that resulted in more than $40 million being invested into his fraudulent plot. Instead of using the funds for legitimate purposes, Franzone utilized the money for personal expenses, which included purchasing a private hangar to store his vintage and rare car collection, including NASCAR stock cars, as well as financing his ATF & Gunslinger race team.

In past years, Franzone’s race team, ATF & Gunslinger, participated in various events, with notable appearances by Mike Skinner driving a truck at the Goodwood Festival of Speed and the team fielding cars for Speedweeks at New Smyrna. Despite his initial denial of any wrongdoing, Franzone has since pleaded guilty to securities fraud and is currently awaiting sentencing.

Franzone’s attorney has suggested that a significant portion of the evidence against his client may be limited, prompting Franzone to opt for a guilty plea in an effort to avoid a trial. Furthermore, the attorney has expressed hope that investors affected by Franzone’s scheme may be “made whole, maybe as much as 10 times over” in the future.

During the legal proceedings, Franzone attempted to defend himself by citing a successful investment in CoreWeave, a cloud computing startup supported by Nvidia, which allegedly turned a $250,000 investment into $55 million. However, the court dismissed this defense, highlighting Franzone’s fraudulent activities and misuse of investors’ funds for personal gain.

Additionally, Franzone has claimed ownership of the Ford Galaxie that Fred Lorenzen drove to victory at the 1965 Daytona 500, further emphasizing his deep involvement in NASCAR-related activities. The prevalence of NASCAR-related court cases in recent times has heightened awareness of legal issues within the sport, with ongoing lawsuits and disputes involving various teams and individuals.

In conclusion, Andrew Franzone’s guilty plea to securities fraud underscores the impact of fraudulent activities on both investors and the NASCAR community. As the legal proceedings continue, the repercussions of Franzone’s actions serve as a cautionary tale for others involved in financial impropriety within the racing industry.