industry. By comparison, the May deal required him to pay only $4 million out of his own pocket. Harbinger will pay $6.5 million in civil penalties. Falcone admitted to siphoning off $113.2 million of Harbinger assets to pay his personal state and federal taxes and pay customer redemptions to favored clients. He also admitted to manipulating the bond price of MAAX Holdings, a Canadian bathroom products manufacturer, by buying up all of the outstanding bonds and demanding that Goldman Sachs settle all outstanding MAAX transactions and deliver the bonds it owed. Falcone was well aware Goldman couldn't deliver the bonds because all of them were tied up by Harbinger. On July 4, 2014, the SEC Office of the Whistleblower rejected a claim made by an individual requesting a reward for assisting in the investigation. The SEC rejected the claim, asserting in the "Claimant did not provide information that led to the successful enforcement". Personal life Falcone is married with two children, and lives in New York City. In 1997, Falcone married Lisa Velasquez . Lisa was born in 1961 and grew up in Spanish Harlem and has an associate's degree from Pace University. In 1985, she went to Milan Italy to model. In 2008, she started a film production company, Everest Entertainment, and she has produced Mother and Child, 127 Hours, and Win Win. She is active in philanthropic causes, including the American Museum of Natural History and sits on the board of the New York City Ballet. In 2009, the couple reportedly donated $10 million to New York City's High Line project. They have twin daughters, Liliana and Carolina (born February 2005). In 1999, Falcone built a house in Sag Harbor, New York, which he sold in 2005 for $1.57 million. In 2008, Falcone bought a house on the Upper East Side, formerly owned by Jeremiah Milbank and later Bob Guccione, for $49 million. Also in 2008, Falcone bought a Saint Barthélemy villa for $39 million. Falcone's former chef, Brian Villanueva, sued Falcone over an allegedly hostile work environment and alleged racist remarks and they had settled out of court for $60,000. In 2020, Villaneuva filed a new lawsuit claiming to not have been paid the settlement, while Falcone claimed to not have the funds. References External links Living people People from Chisholm, Minnesota People from Sag Harbor, New York People from the Upper East Side Harvard College alumni