Category Archives: Investment Scam
SEC Settles Gold Mine Offering Fraud Case
The Securities and Exchange Commission (“SEC”) announced that it has settled with two of the defendants in an offering fraud case involving a purported $11 billion gold mine. In July 2012, the SEC charged a father, son and daughter with perpetrating a $2.7 million securities fraud on approximately 140 investors in 23 states. Harry… Read More »
Wellington Man Convicted of Defrauding Elderly Tampa Couple
Jeff Atwater, Florida’s Chief Financial Officer (“CFO”), announced that Wellington resident, Richard Incandela, was convicted of defrauding two Tampa senior citizens out of nearly $490,000. Incandela was sentenced to 34 months in prison to be followed by 25 years’ probation. In addition, he was ordered to pay full restitution to the victims. According to… Read More »
Before You Invest: Pre-IPO Stock Investments
Due to the media hype of the upcoming IPO of Facebook and other private companies, there is an increased interest in investing in these companies. Access to a private company’s stock prior to its IPO is very limited. Fraudsters are exploiting this limited supply and tremendous demand by offering “pre-IPO” shares of these companies,… Read More »
SEC Charges A.L. Waters Capital With Creating Phony Private Placements
Arnett L. Waters, a Massachusetts resident, and his broker-dealer, A.L. Waters Capital LLC (“Waters Capital”), have been charged by the Securities and Exchange Commission (“SEC”) with creating bogus private placements – Port Huron Partners LP and Port Huron Partners II LP (collectively “Port Huron Funds”) – and bilking investors out of at least $780,000…. Read More »
Stanford Convicted in $7 Billion Investment Fraud
Robert Allen Stanford (“Stanford”), founder of Stanford Financial Group and former Chairman of the Board of Antigua-based Stanford International Bank (“SIB”), was convicted by a Houston federal jury for orchestrating a $7 billion investment fraud involving bogus certificates of deposit issued by SIB. The jury found him guilty of 13 out of 14 counts… Read More »
Warning: Fraudsters Posing As SEC Employees
The Securities and Exchange Commission (“SEC”) recently issued an Investor Alert warning investors about fraudsters impersonating SEC employees. The SEC says it has been flooded with complaints about individuals, claiming to be SEC employees, calling or emailing unsuspecting investors with offers of large sums of money (such as $450,000), if the investor deposits a… Read More »
Illinois Resident Charged With $4 Million Investment Fraud
The Securities and Exchange Commission (“SEC”) charged Illinois resident Kenneth A. Dachman (“Dachman”) with misappropriating more than $1.8 million in investor funds and making material misrepresentations to potential investors in connection with offerings for three companies for which he was the Chairman – Central Sleep Diagnostics, LLC, Central Sleep Diagnostics of Florida, LLC, and… Read More »
SEC Charges Florida-Based Company and Its Founder With Running Boiler Room Stock Scheme
The Securities and Exchange Commission (“SEC”) has charged Fort Lauderdale-based First Resource Group LLC (“First Resource”) and its principal, David Stern (“Stern”) of Tamarac, Florida, with running a boiler room stock scheme. The SEC’s complaint alleges that First Resource employed telemarketers who fraudulently solicited investors to purchase securities in two microcap companies, TrinityCare Senior… Read More »
Florida Man Sentenced to 51 Months in Prison For Investment Fraud
The Florida Office of Financial Regulation announced that Boynton Beach resident, Anthony Cutaia, was sentenced yesterday to 51 months in prison for his role in a $6 million Ponzi scheme perpetrated on 35 Florida investors. Cutaia pleaded guilty to mail and wire fraud for misleading investors and misappropriating funds. Cutaia began soliciting potential investors… Read More »
SEC Issues Investor Alert Regarding Social Media and Investing
The Securities and Exchange Commission’s Office of Investor Education and Advocacy issued an investor alert aimed at helping investors protect themselves against online investment fraud. The alert was prompted, in part, by the SEC’s recent charges against an Illinois man who used various social media sites, such as LinkedIn, to promote more than $500… Read More »