A federal grand jury has indicted the former business manager of Cleveland Cavaliers player Richard Jefferson for allegedly defrauding the professional athlete of $7M. Theodore Kritza is charged with more than 22 criminal counts related to financial fraud. Jefferson reportedly paid the agency that Kritza worked for $250,000 a year…
Lawrence Allan DeShetler is facing up to 20 years in prison for Texas investment adviser fraud. The Houston-based financial adviser pleaded guilty to mail fraud last month. DeShetler fraudulently obtained $1.9M from clients he worked for through DeShetler & Company Inc. Three years ago, he started recommending that they take…
In yet another investor fraud case in which the alleged fraudsters touted the sale of tickets from the musical Hamilton, Jason Nissen is charged with wire fraud in a $70M Ponzi scam. According to prosecutors, the CEO of National Event Co. raised money by falsely claiming that he would use…
Grand Jury Indicts Texas Woman in $1M Ponzi Scam A federal grand jury has indicted Nemelee Liwanag Jiao on two wire fraud counts for allegedly running a Texas Ponzi scam that cost investors over $1M. At least 35 investors were bilked. According to the indictment, Jiao, a Texas resident, had…
FINRA Suspends Broker For Accepting $105K in Gifts The Financial Industry Regulatory Authority Inc. has suspended a former Merrill Lynch broker, Adam C. Smith, from the securities industry for a year. The former Merrill Lynch broker, who was fired from the firm, will pay a $10K fine. According to…
San Angeleno Man Goes to Prison Over Investment Scams Stanley Jonathan Fortenberry of Texas has been sentenced to 78 months behind bars for running two investment scams and bilking investors of about $900K. He pleaded guilty to obstruction of justice and mail fraud in 2016. Now, Fortenberry must pay over…
RIA Misappropriated Over $865K and Withdrew $640K in Excess Fees, Say Prosecutors Broidy Wealth Advisors CEO Mark Broidy has pleaded guilty to taking $640K in excess management fees from clients and misappropriating over $864K in stock that were in trusts of which he was the trustee. Now, the registered investment…
According to the AARP Investment Fraud Vulnerability Study, published by the AARP Fraud Watch Network, active, older investors who get involved in unregulated investments may be more vulnerable to investment fraud. 214 fraud victims were interviewed, along with 814 members of the public who are considered general investors. The study…
The US Securities and Exchange Commission has filed Texas fraud charges against Patrick O. Howard, Optimal Economics Capital Partners, LLC (OE Capital) and Howard Capital Holdings, LLC. Howard controls the two Dallas-based companies., which have raised about $13M from 119 investors. The regulator is alleging that the money went to…
Arizona Man to Pay $500K To Settle SEC Fraud Charges James P. Toner will pay over $500K to settle charges accusing him of taking investors’ money. The Arizona man claimed to be a real estate manager and allegedly told investors that he would be personally managing three real estate ventures…