Ken Starr denies charges of $59M fraud

Kenneth Ira Starr, the New York investment adviser who faces federal charges that he defrauded his celebrity and socialite clients, denied wrongdoing today in a brief court appearance. Starr, 66, was indicted yesterday following his May 27 arrest for swindling clients. He pleaded not guilty today in Manhattan federal court, where a judge jailed him last month after prosecutors argued that he might flee. The indictment accuses Starr of stealing at least $59 million from 11 clients, including an actress, a former executive of a talent agency, the stepson of a deceased heir to a business fortune, a 99-year-old heiress, and a film producer. “Mr. Starr wishes to plead not guilty,” his court appointed lawyer, Sabrina Shroff, said in court today. Starr didn't speak and will next appear in court on June 21. Starr used his access to famous and powerful clients “to burnish an image of trustworthiness, leading his clients to entrust him with management and control of their financial affairs,” sometimes assuming “total control” over their financial lives, the indictment charges. --Bloomberg