Articles Posted in Affinity Fraud

South Florida Broker/Dealer Fraud and Misrepresentation FINRA Arbitration and Litigation Attorney, Russell L. Forkey, Esq. June, 2012: SEC Charges Florida Broker in Astrology-Based Ponzi Scheme The Securities and Exchange Commission recently charged that a former broker in Orlando, Fla., defrauded investors in an astrology-based Ponzi scheme. The SEC alleges that Gurudeo “Buddy” Persaud lured family,…

Investment Fraud and Misrepresentation FINRA Arbitration and Litigation Attorney, Russell L. Forkey, Esq. May, 2012: Securities and Exchange Commission v. Usee, Inc., et al, Case No. 3:12-cv-01325-M (N.D.Tex.) (filed April 30, 2012) SEC CHARGES VOIP COMPANY AND ITS OWNERS WITH CONDUCTING A FRAUDULENT OFFERING TARGETING CHRISTIAN INVESTORS Recently, the Securities and Exchange Commission filed settled…

Hedge Fund and Investment Advisor Fraud, Misrepresentation and Mismanagement Litigation and FINRA Arbitration Lawyer, Russell L. Forkey, Esq. April, 2012: SEC Shuts Down Ponzi Scheme Targeting Persian-Jewish Community in Los Angeles The Securities and Exchange Commission recently obtained an emergency court order to halt an ongoing Ponzi scheme that targeted members of the Persian-Jewish community…

Affinity Fraud, Misrepresentation and Mismanagement FINRA Arbitration and Litigation Attorney, Russell L. Forkey, Esq. April, 2012: SEC Charges Ponzi Schemer Targeting Church Congregations The Securities and Exchange Commission recently charged a self-described “Social Capitalist” with running a Ponzi scheme that targeted socially-conscious investors in church congregations. The SEC alleges that Ephren W. Taylor II made…

Affinity Securities Fraud, Misrepresentation and Mismanagement FINRA Arbitration and Litigation Lawyer, Russell L. Forkey, Esq. April, 2012: Royal West Properties, Inc. Founding Principal Sentenced In $135 Million Investor Fraud Recently, U.S. District Judge Kathleen Williams of the Southern District of Florida sentenced Gaston E. Cantens to five years’ imprisonment followed by three years of supervised…

AFFINITY FRAUD – The Friendly Killer! Affinity fraud refers to investment scams that prey upon members of identifiable groups, often religious or ethnic communities. The fraudsters who promote affinity scams frequently are – or pretend to be – members of the group. They often enlist respected leaders from within the group to spread the word…

January, 2012: Affinity Fraud has a devastating effect not only on the individuals that are defrauded but also affects the core beliefs of the individuals that makeup the targeted group, in this case members of the Church of Jesus Christ of Latter Day Saints. Securities and Exchange Commission v. Kevin J. Wilcox, Jennifer E. Thoennes,…

September, 2011: Securities and Exchange Commission v. Jody Dunn, Case No. 4:11-CV-00577 (USDC E.D. Tex.). Affinity fraud is alive and well in today’s investment world. While most investors realize this, it is likewise inconceivable, to people, that it will happen to them. Unfortunately, anyone can be taken advantage by fraudsters. One such example is described…

Securities and Exchange Commission v. Imperia Invest IBC, Civil Action No. 2:10-cv-00986-B (D. Utah) On October 6, 2010, the Securities and Exchange Commission obtained a temporary restraining order and emergency asset freeze against Imperia Invest IBC (“Imperia”) for defrauding more than 14,000 investors worldwide. The Commission’s complaint alleges Imperia raised in excess of $7 million,…

The Securities and Exchange Commission recently published Litigation Release No. 21856 on February 15, 2011 in which the SEC charged Monroe L. Beachy in $33 million offering fraud that targeted the Amish. The cased is styled Securities and Exchange Commission v. Monroe L. Beachy, Civil Action No. 11-cv-320-SL in the United States District Court for…