SEC Charges Father and Son with Utah Securities Fraud In Alleged $220M Ponzi Scam Over Purported Real Estate Investments

The SEC has charged Wendell A. Jacobson and his son Allen R. Jacobson withsecurities fraud. The two men allegedly ran a $220MPonzi scamunder the guise of selling investments in their real estate business. The Commission claims that father and son violated sections of the Securities Act of 1933, the Securities Exchange Act of 1934, and Rule 10b-5 thereunder.

雅各布森（Jacobsons）被指控向投资者提供有机会将其资金放在有限责任公司中，以换取位于许多州的公寓社区的部分所有权。这两个人属于耶稣基督后期圣徒教会，恳求其他成员进行投资。

The father and son claimed to have bought apartment complexes at discount prices. They said they would renovate the units, enhance management, and resell properties in 5 years. Investors were told they would be paid their shares in monthly rentals and the future resales.

Per the securities complaint, the father and son team got over $220M from about 225 investors. Securities were sold as investment contracts. No registration statement was submitted to the SEC, which is required under federal securities law.

The Utah securities scam was operated under the umbrella company Management Solutions, Inc. The SEC says the two men behaved as unregistered brokers who made false claims when they told investors that their investment’s principal was safe. They also allegedly misrepresented how the money would be used. Meantime, investors were told that they would get 5-8% annual returns and resale profits.

SEC说，实际上，不仅有限责任公司遭受了重大损失，而且雅各布森人也在使用投资者资金来支付其个人和商业费用。他们还在使用新投资者的资金来支付早期的投资者。雅各布森（Jacobsons）使用庞氏骗局（Ponzi Scam）引起了获得“回报”的投资者，以为有限责任公司正在获利。

Beginning last year, investors were told that properties were sold and they had made a profit when no sales actually occurred. Instead, the “sales” were used to move investors from and into specific properties.

The SEC is seeking disgorgement of ill-gotten gains, financial penalties, and prejudgment interest.

SEC Halts Father-Son Ponzi Scheme in Utah Involving Purported Real Estate Investments, SEC, December 15, 2011
摩门教徒的投资骗局票价为2.2亿美元：SEC，投资新闻，2011年12月16日

More Blog Posts:
Colorado Securities Fraud: Universal Consulting Resources LLC and Owner Richard Dalton to Pay $15.8M to Settle SEC Lawsuit Over Ponzi Scam, Stockbroker Fraud Blog, December 9, 2011
前Bernard L. Madoff Investment Securibob200体育ties LLC员工面临SEC的费用，以创建虚假交易，以启用Ponzi Scam，Stockbroker Fraud Blog, November 23, 2011
SEC Issues Emergency Order to Stop $26M “Green” Ponzi Scam, Institutional Investor Securities Fraud, October 13, 2011
It is not uncommon for fraudsters to use their connections/membership in certain groups to garner trust and recruit prospective investors. This is known as affinity fraud.

OurUtah securities fraud lawyers在Shepherd Smith Edwards和Kantas，Ltd LLP代表Ponzi Scam受害者。我们是一家股票经纪人欺诈律师事务所，已帮助数千名投资者拿回了钱。