On April 11, 2019, the SEC (Securities and Exchange Commission) charged two former directors of investments at Woodbridge Group of Companies LLC related to their participation in a massive Ponzi scheme. Ivan Acevedo and Dane R. Roseman, were charged, along with Robert H. Shapiro (who was Woodbridge’s owner).
Previously, a number of others, principally unregistered securities brokers, were charged.
In prior SEC charges, the SEC charged Woodbridge and Shapiro, and Woodbridge’s unlicensed brokers. A federal court in Florida in January 2019 ordered Woodbridge and Shapiro together to pay $1 billion for operating this Ponzi scheme.
Acevedo and Roseman were responsible for fraudulently raising $1.2 billion from about 8,400 retail investors. Millions in compensation was received.
The complaint, filed in U.S. District Court for the Southern District of The Federal Court Florida complaint alleged that Acevedo supervised Woodbridge’s from 2012 to 2015. In 2015 Roseman supervised fundraising. The Ponzi scheme preyed mostly on elderly investors.
Allegedly the defendants hired and trained Woodbridge’s sales force, distributed fraudulent marketing materials and created the false appearance that Woodbridge was a legitimate operation when it was a Ponzi scheme which used money from new investors to pay existing investors. The instruments sold to the investors were notes bearing purportedly higher interest rates.
An SEC spokesman stated: “Instead of telling investors the truth – that Woodbridge’s third-party lending business was a sham almost from inception – we allege that Acevedo and Roseman worked diligently to perpetuate this sham by preparing and disseminating false marketing materials to induce more investments, keeping this massive Ponzi scheme afloat,” “The SEC is committed to continue to hold responsible parties accountable in this far-reaching scheme.”
The SEC charged Acevedo and Roseman with anti fraud provisions of the Securities laws. The complaint disgorgement of profits, with interest, and financial penalties.
Anthony M. Abraham, Esq., PC, has represented many investors who have claimed against Bankrupt and other estates for return of assets taken through fraud. Anthony M. Abraham, Esq., PC is experienced in churning and unauthorized trading claims. If you were victimized in this Ponzi scheme and need help, please call us Toll Free at 1-877-430-4877 for a Free Consultation or email us at Anthony@Abrahamattorneys.com.