Old Greenwich hedge fund founder pleads guilty to embezzling $5.2 million

Jeffrey Arsenault, the 63-year-old owner of private equity firm Old Greenwich Capital Advisors LLC, pleaded guilty on Wednesday, December 17, 2025, to federal tax evasion charges. Based on Christopher Fountain's local blog here, the Arsenault house on Highview Avenue in Old Greenwich has been pulled from the market.

According to the U.S. Attorney’s Office, Arsenault admitted to misappropriating approximately $5.2 million from his investment funds between 2013 and 2022. Rather than distributing these earnings to investors or reinvesting them into the firm, the funds were used to pay for Arsenault's personal lifestyle, including country club dues.

The criminal charge specifically addressed his failure to report these embezzled funds as income. From 2013 to 2016, Arsenault underreported his income, and from 2017 to 2022, he failed to file individual tax returns entirely. He now owes the IRS $2,162,870 in back taxes and interest.

As part of a separate SEC settlement, Arsenault has also agreed to pay $4.67 million in restitution to his former investors. He is currently released on a $50,000 bond and faces a maximum of five years in federal prison.

Between the Lines: If only we didn't have to pay taxes and the golf clubs in Greenwich weren't so expensive.

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