Mass. man pleads guilty to $20 million fraud

BOSTON (AP) -- A Massachusetts man has pleaded guilty to committing a fraud that netted him more than $20 million from the descendants of a 19th-century industrialist and using the money on personal extravagances including three private jets.

Federal prosecutors said Peabody resident John Doorly stole from the Tenens Corp. The company was created to manage trusts for descendants of the late Frederick Ayer Jr., who owned textile mills in nearby Lowell.

A 2008 lawsuit by Tenens against its auditors estimated the theft at $57 million.

Authorities said Doorly used the money to buy homes for relatives, friends and mistresses, pay off credit card bills and buy memberships at exclusive clubs.

The 60-year-old former chief operating officer pleaded guilty to mail fraud and money laundering Monday. He faces up to 20 years in prison at his March sentencing.