Court Finds Wayne Palmer Guilty in Ponzi Scheme
The Securities and Exchange Commission (SEC) won a case involving a Ponzi scheme. According to the SEC Wayne Palmer and his company National Note of Utah. The SEC filed fraud charges against them in June 2012 in connection with the Ponzi Scheme. The Court found that Palmer promised more than 600 investors a guaranteed 12% annual return and assured them their money was completely secured and being used to make hard money loans, purchase notes, and acquire real estate. In reality, Palmer deposited investor funds in one bank account titled “investor trust account,” wired the funds to a second bank account titled “investor interest account,” and then used the funds to pay returns to other investors.
The Court ordered that Wayne Palmer pay disgorgement of $1,767,287.10 and that National Note disgorge $65,188,155.83. The Court also imposed civil penalties of $1,050,000 against Palmer and $900,000 against National Note.
For further information about this securities law blog post and ponzi schemes, please contact Brenda Hamilton, Securities Attorney at 101 Plaza Real S, Suite 202 N, Boca Raton, Florida, (561) 416-8956, by email at [email protected] or visit www.securitieslawyer101.com. This securities law blog post is provided as a general informational service to clients and friends of Hamilton & Associates Law Group and should not be construed as, and does not constitute legal advice on any specific matter, nor does this message create an attorney-client relationship. Please note that the prior results discussed herein do not guarantee similar outcomes.