Former NSync and Backstreet Boys creator Lou Pearlman has been sentenced to 25 years in prison for defrauding investors.
A judge through Pearlman the 300-month sentence with an out-clause that he will shave 1 month at a time off the term for every $1 million he pays back to investors.The court heard how Pearlman cheated investors out of $300 million. He testified that he had already paid back $103 million. However, his lawyer made it clear that Pearlman has no money.
53-year-old Pearlman had been working on his swindle since the early 80s, according to the case.
Pearlman started in the music business in the late 70s. He is the cousin of Art Garfunkel.
He first got the idea to create Backstreet Boys after watching the success of New Kids On The Block. He recruited former NKOTB manager Johnny Wright and his wife Donna for the day-to-day management duties. Backstreet Boys sold 100 million records.
His next creation with the Wrights was NSync. After the success of NSync, he eliminated the Wrights from management and never had a hit again.
His next projects were a string of failures. O-Town, LFO, Take 5 and Natural did nothing compared to the early successes.
Pearlman has been discredited by his former acts. Justin Timberlake said he was "raped by a svengali"; Aaron Carter sued for being cheated out of millions. Pearlman has also been accused of "initiating improper acts" with the bands.
