Lawyer tied to failed Maxim magazine acquisition sentenced to six months behind bars
The lawyer was accused of looking to complete the acquisition deal for the men’s magazine in order to secure the transaction fees in order to get out from under a ‘mountain of debt’
A lawyer, convicted of fraud in December in a failed attempt to buy Maxim magazine, has been sentenced to six months in prison, according to Law360.
“Judge Jed S. Rakoff hit Harvey Newkirk with a six-month prison term Thursday, completing the former Bryan Cave LLP transactional lawyer’s fall from BigLaw to the big house for scheming to fleece lenders out of $8 million for a failed magazine acquisition,” the legal website reported.
Newkirk had been involved in a scheme to convince lenders to back a deal to buy the men’s magazine Maxim. Newkirk was accused of falsely claiming to represent the former top executive of UPS Calvin Darden Sr. But really the deal involved Calvin Darden Jr. who was attempting to impersonate his father in order to get the financial backing to buy the magazine.
Both Newkirk and Darden Jr. were arrested following an investigation, and Darden pleaded guilty and testified in the case against Newkirk.
In a profile of Newkirk, the NYPost’s Keith Kelly painted the picture of the scheme:
New York lawyer Harvey Newkirk was saddled with two mortgages and hoped to dig himself out from under the mountain of debt by earning a bonus from the transaction fees connected to the sale of Maxim magazine, federal prosecutors told a Manhattan federal court jury on Wednesday.
Plus, by notching such a deal, Newkirk, then a lawyer with the prestigious Bryan Cave firm, could potentially get promoted to partner, the jury was told during the government’s closing arguments at the trial which accuses Newkirk of fraud in the attempted sale of the laddie mag.
Meanwhile, in early 2014, Maxim was bought by the founder of Biglari Holdings and Biglari Capital, entrepreneur Sardar Biglari for a reported $12 million. Biglari officially assumed the title of editor just this year, as well.