10 July 2009, New York

A former vice president of Morgan Stanley is to plead guilty to charges of stealing $2.5m from the company.

According to Bloomberg, defense attorney larry Ferdella stated Richard Garaventa jr has submitted a letter accepting responsibility for the theft.

He is said to have written 50 cheques to a company he set up between 2001 and 2008 in order to accrue the money, which he then spent on jewellery, cars and travelling.

The prosecution has reconmmended a prison sentence of between two and six years and $500,000 property may be reposessed stating: "The defendant was living a lifestyle he couldn't afford.  He should no longer live that lifestyle and that includes that house."