Why trust Greenbot
Brooklyn crypto influencer and podcaster “T.J. Stone,” who named his fake company after a Seinfeld joke, will spend nearly four years in prison for stealing $2 million from friends, neighbors, and parents he met through his children’s sports teams.
U.S. District Judge Frederic Block sentenced 56-year-old Thomas John Sfraga to 45 months in prison on March 14 after he pleaded guilty to wire fraud charges last May. Sfraga must also pay back $1.3 million, with extra victim repayments to be decided later.
“Sfraga callously stole from friends, next-door neighbors, and the parents of children who played on teams with his own children, as well as from individual cryptocurrency investors,” said John J. Durham, U.S. Attorney for the Eastern District of New York. “There was nothing funny about his use of a Seinfeldian company, Vandelay Industries, to carry out this fraud.”
From 2016 to 2022, Sfraga tricked at least 17 people into investing in fake businesses, including Vandelay Contracting Corp. The name copied “Vandelay Industries,” a made-up company often mentioned by George Costanza in the popular 1990s sitcom.
Victims gave money thinking they invested in real estate projects and cryptocurrency opportunities. One person invested $30,000 in a non-existent “virtual wallet” that Sfraga claimed would return 60% within three months.
Court papers show Sfraga made up excuses when investors requested their money back. He told some people his father in Alaska was dying while telling others he had a heart attack.
The podcast host, whose show “3 People Like This” reportedly had over a million listeners, spent the stolen money on himself and used some to pay earlier investors in a Ponzi scheme style.
One victim explained in court documents: “During a challenging time in my life, as I faced a difficult and costly divorce, [Sfraga] and I met socially. He acknowledged my financial struggles and offered a way to help… He assured me, as a friend.”
When police started investigating, Sfraga ran away to Arizona using a fake identity. He was finally caught in Las Vegas after being arrested for not paying his bill at the Wynn Casino.
“[Sfraga] had every opportunity to enjoy a productive, law-abiding life,” prosecutors stated in court filings. “Instead, he chose to cheat and swindle his neighbors and friends out of their savings to support his lifestyle.”
The case shows growing problems with investment fraud in cryptocurrency. A recent survey by The North American Securities Administrators Association (NASAA) shows crypto and social media scams are among the biggest threats to retail investors in 2025.
