a

Class Action

Ponzi Schemes

Latest News

8:00am - 5:00pm EST

Office Hours Monday - Friday

(574) 722-6676

Call Us For Free Consultation

Facebook

Twitter

News
 

Securities Fraud

SEC Accuses Accounting Firm Of Fraud Over Microcap Audits

By Jon Hill of Law360.com The U.S. Securities and Exchange Commission on Monday accused a California-based public accounting firm and a number of its current and former partners of doing flawed audit work for an energy services holding company and two other penny-stock company clients that have themselves been accused of fraud by the agency. The SEC said it has initiated proceedings against Anton & Chia LLP, alleging that some of its conduct in connection with audits and reviews for Premier Holding Corp., Accelera Innovations Inc. and CannaVEST Corp. was fraudulent. Anton & Chia co-owners Gregory A. Wahl and Georgia Chung, its former audit partner...

Continue reading

FRAUD: CFTC Sues Bitcoin Ponzi Scheme Operator

CFTC Sues Bitcoin Crytocurrency Ponzi Scheme Operator

By Nicole D. Prysby, Senior Attorney, National Legal Research Group The price of Bitcoin has soared in recent months, from approximately $900 in January 2017 to a current price of over $15,000. But even before the 2017 increase, Bitcoin had periods where its value rose sharply. For example, in 2013, it went from about $15 to $800. Bitcoin’s short-term gains have made it a very attractive hook for would-be Ponzi scheme developers. In fall 2017, the Commodity Futures Trading Commission (“CFTC”) sued Gelfman Blueprint, Inc. (“GBI”), and GBI’s Chief Executive Officer (“CEO”) for operating a Bitcoin Ponzi scheme that allegedly defrauded...

Continue reading

Man behind $1M scam gets 7 1/2-year sentence

By Mitchell Kirk – Pharos Tribune (Logansport, Indiana) A former Logansport man received a 7 1/2-year sentence in federal court on Thursday and was ordered to pay back the $985,000 he's accused of fraudulently obtaining. Larry Westby, 65, Vanderbilt, Michigan, was indicted in August 2016 on charges of mail fraud, money laundering and fraud in the offer and sale of securities. The FBI, IRS and Indiana Secretary of State's office accused the former Logansport resident of fraudulently obtaining about $985,800 from investors and causing losses to investors of about $903,128. Westby started a company called LMW Inc. he based in Indianapolis with the reported...

Continue reading

Bitcoin scam? Here are 3 signs a cryptocurrency investment, ICO or altcoin is a fraud

Bitcoin scam? Here are 3 signs a cryptocurrency investment, ICO or altcoin is a fraud

By James Dennin of Mic.com When perpetrating any kind of scam, it helps to move in a space that’s hard for everyday consumers to understand. It’s safe to say digital currencies, which were confusing to begin with and now come in more than a thousand different varieties, offer fertile ground for fraudsters. One recent scam story making the news pertains to the aptly-named Confido, a new cryptocurrency startup that successfully raised more than $300,000 in investment money through an initial coin offering. Then, according to reports in The Next Web and Inc, the company quickly disappeared. Altogether the startup was able to...

Continue reading

Former heavy-hitter stockbroker Buck charged with fraud

Former heavy-hitter stockbroker Buck charged with fraud

By Indianapolis Business Journal staff Thomas. J. Buck, a former top investment broker who was fired by the local office of Merrill Lynch in 2015 after nearly 34 years with the firm, is now facing serious prison time, according to federal officials. Buck, 63, has agreed to plead guilty to one count of securities fraud and faces up to 25 years in prison, U.S. Attorney Josh Minkler’s office announced Tuesday morning. Buck also agreed to pay $5 million as part of a civil settlement he reached with the U.S. Securities and Exchange Commission. Federal investigators say Buck defrauded clients by charging excessive commissions...

Continue reading

SEC Settles Ponzi Scheme Suit Against Ex-NFLer, Biz Partner

SEC Settles Ponzi Scheme Suit Against Ex-NFLer, Biz Partner

By Christine Powell of Law360.com A Massachusetts federal judge greenlit a deal Friday resolving the U.S. Securities and Exchange Commission’s allegations that a former NFL player, his business partner and three companies they founded together ran a $31.7 million Ponzi scheme that involved convincing investors they were helping provide short-term loans to professional athletes. U.S. District Judge Indira Talwani entered final judgment just one day after the SEC moved for the approval of the settlement in its civil enforcement action against William D. Allen, who played for the New York Giants, the Miami Dolphins and the New England Patriots; former banker Susan...

Continue reading

FINRA Fines JPMorgan $1.25M For Faulty Background Checks

FINRA Fines JPMorgan $1.25M For Faulty Background Checks

By Evan Weinberger of Law360.com A JPMorgan Chase & Co. securities subsidiary on Tuesday agreed to pay $1.25 million in a settlement alleging that the firm did not perform adequate background checks on around 95 percent of its support staff. The Financial Industry Regulatory Authority said that J.P. Morgan Securities LLC did not perform timely or sufficient background checks on approximately 8,600 of its “nonregistered associated persons,” including sales assistants, information technology staff and other back office workers, between January 2009 and May 2017. “FINRA member firms play an important gatekeeper role in keeping bad actors from harming investors. Firms have a clear responsibility to...

Continue reading

Indiana investment adviser sentenced to prison for fraud

Indiana investment adviser sentenced to prison for fraud

From The Indiana Gazette Acting U.S. Attorney Soo C. Song announced Monday that former Indiana investment adviser Bernard Parker was sentenced to 87 months imprisonment, three years supervised release and ordered to pay $1,212,663.93, on his conviction at trial of one count of securities fraud, one count of mail fraud and four counts of filing false tax returns. Parker, 56, was sentenced by U.S. District Judge Reggie B. Walton. According to Assistant U.S. Attorneys Robert S. Cessar and Rachael L. Mamula, who prosecuted the case, the evidence presented at trial established that Parker, the principal of Parker Financial Services, solicited his clients by...

Continue reading

Never Invest in a Company Started or Managed by Your Stockbroker, Insurance Agent, or Investment Advisor

The United States Securities & Exchange Commission recently sued a Colorado investment advisor for fraudulently convincing his clients to invest in a company he started and owned.  The SEC alleges that the investment advisor misrepresented his credentials, the purported safety of the investments he was selling, and his success in creating and operating such companies in the past.  These poor victims violated a cardinal rule of investing:   You should never invest in any company created or managed by your stockbroker, insurance agent, or investment advisor unless and until: You thoroughly check out the so-called “investment opportunity” by having your CPA...

Continue reading

Indiana’s Secretary of State’s Efforts to Educate Hoosiers about Securities and Investment Fraud

The Indiana Secretary of State, Connie Lawson, is conducting a “Movie And A Meal” tour around the State of Indiana to educate Hoosiers about securities and investment fraud. The tour features screenings of the documentary “$cammed,” which details the dramatic impact experienced by victims of three major Indiana securities fraud cases. The presentations are free and a meal, either breakfast or lunch, is provided. You do need to RSVP in advance. RSVP by email to Katrina Ent at kent@hirons.com or call her at 317-977- 2206. A list of the upcoming dates and locations are as follows: September 21, 8 – 9:30...

Continue reading