Court Upholds Former E-Scrap Company CEO’s Prison Sentence

SEATTLE (Scrap Monster): The 10-year prison sentence for Robert M. Boston- the CEO of now-defunct e-scrap company Zloop, for committing financial crimes, was upheld by a federal appeals court. The latest order was issued by the U.S. Court of Appeals for the Fourth Circuit.

Boston was the founder and CEO of the startup company based in Hickory, N.C., which declared bankruptcy in 2015. As part of the bankruptcy proceedings, the company’s assets, which were put under auction, were purchased by Colt Refining and Recycling for a sum of $2 million.

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In October 2018, Boston was sentenced to ten years imprisonment, after finding him guilty of conspiracy and fraud charges. Also, the company co-founder Robert LaBarge was sentenced to two years in prison. Boston appealed the sentence, but the court affirmed the sentence, rejecting his arguments. Meantime, LaBarge did not appeal, but instead reached an agreement with prosecutors.

The FBI investigation found that the two had deceived victims through false and misleading documents. In addition, they also falsified documents to perpetuate their fraud. In the process, they obtained millions of dollars.

The release dates of Boston and LaBarge are April 8^th, 2027 and August 16^th, 2020 respectively.