Category Archives: Ponzi Scheme
Securities Clawback Actions May be Subject to Arbitration Clauses
The United States Court of Appeals for the Eleventh Circuit recently held that “clawback actions brought by court-appointed receivers are not categorically exempt from the Federal Arbitration Act.” Wiand v. Schneiderman, 2015 WL 525694 (C.A. 11 (Fla.)). The appellate court affirmed the district court’s decision to decline to vacate an arbitration award in a… Read More »
Brokerage Firm Success Trade Securities Expelled from FINRA and Ordered to Pay Restitution for Alleged Securities Fraud and Running a Ponzi Scheme
A Financial Industry Regulatory Authority (“FINRA”) hearing panel has expelled brokerage firm Success Trade Securities and ordered $13.7 million in restitution for alleged securities fraud and for running a Ponzi scheme. In addition to expelling the Washington, D.C. based firm, the FINRA hearing panel also barred Success’ President and CEO, Fuad Ahmed, from any… Read More »
SEC Obtains Asset Freeze Against Florida Operators of Alleged Ponzi Scheme Targeting Investors to Invest in Virtual Concierge Machines
According to the Securities and Exchange Commission (“SEC”), a federal judge in Florida has issued a temporary asset freeze against two companies and their owners for allegedly operating a Ponzi scheme that encouraged investors to make purported investments in virtual concierge machines (VCM’s). According to the government, the companies, JCS Enterprises, Inc. (“JCS”) and… Read More »
Florida Fraudster Sentenced to More Than Twelve Years in Prison for $68 Million Ponzi Scheme Targeting Haitians
George Theodule, formerly of Wellington, Florida, was sentenced for orchestrating a Ponzi-like affinity fraud scheme on fellow Haitians residing in the United States. In October 2013, Theodule agreed to plead guilty to one count of wire fraud in exchange for the government dropping the other 39 charges against him. According to the indictment, Theodule… Read More »
SEC Charges California Couple with Running $150 Million Ponzi Scheme
The Securities and Exchange Commission has charged Yin Nan (Michael) Wang, Wendy Ko, and their company Velocity Investment Group (“Velocity”) of Pasadena, California with securities fraud and have obtained an emergency asset freeze. According to the SEC’s complaint, Wang and Ko have raised over $150 million from approximately 2,000 investors since 2005. The investors… Read More »
Defunct Florida Company and its Principals Charged With Investment Fraud
The Securities and Exchange Commission (“SEC”) has charged the former principals of now defunct Assured Capital Consultants, LLC, based in Clermont, Florida, with running a $25 million Ponzi scheme. Jenifer Hoffman, John Boschert, Bryan Zuzga have been charged with raising $25 million from investors by making false statements and creating fake documents about an… Read More »
Former Florida Resident Charged With Scamming Hockey Star and Others
The United States Attorney for the Southern District of Florida has announced that former Florida and Michigan resident Joseph Paul Zada has been indicted in connection with a $20 million investment scheme. The indictment charges Zada with mail fraud, wire fraud, interstate transportation of stolen property, and money laundering. According to the Detroit Free… Read More »
Wedding Singer Hits a Sour Note
The Securities and Exchange Commission (“SEC”) has charged a former Oklahoma investment advisor, who is also a local wedding singer, with securities fraud. According to the SEC, Larry Dearman, Sr., a former broker and investment advisor, and Marya Gray, a licensed realtor, swindled 30 of Dearman’s investment advisory clients out of $4.7 million. According… Read More »
Stanford Ponzi Scheme Receiver and Liquidators agree to distribute $300 Million to Defrauded Investors
Attorney Ralph Janvey, the U.S. receiver of Stanford Financial Group, and accountants Marcus Wide and Hugh Dickinson, international liquidators of Stanford International Bank Ltd. (the “Bank”), have agreed to distribute up to $300 million of the Bank’s assets that have been frozen since regulators uncovered Stanford’s decade-long Ponzi scheme that defrauded investors of more… Read More »
Former Delray Beach Commissioner Convicted of Running Ponzi Scheme
A jury took only ten minutes to convict former Delray Beach Commissioner, Charlotte Durante, of orchestrating a $1.8 million Ponzi scheme that targeted more than 80 investors, most of whom were Haitian. Durante was convicted of two felony counts – one count of money laundering and one count of organized scheme to defraud greater… Read More »