Hernandez charged with $11 million Ponzi scheme
| June 29th, 2009 | ||
| In a recent press release, the SEC accused Mr. David Hernandez of an $11 million Ponzi scheme in which he guaranteed 10—16% profits per month from his company Next Step Financial Services, which was in fact out of business. He stands accused of lying about a number of issues including his educational background and experience, the safety of investor’s money, and the use of those funds. Mr. Hernandez apparently used investor money for personal use and to pay the massive returns he promised. He also never purchased adequate insurance coverage for the investments and lied about the success of Next Step Financial Services. The SEC is seeking a restraining order as well as various other penalties, and accuses Mr. Hernandez of violating anti-fraud law. | ||
See Press Release | ||
For Detailed Investor Profiles on these Investors, click below: |
Next Step Financial Services |
Related People: David J. Hernandez
Related Article Tags: Hedge Fund Fraud and Ponzi Scheme News
Add a Comment |
More Recent Headlines
Madoff Receives 150 Year Sentence |
Black Swan Investor Universa Bets on Volatility |
Massachusetts Man Charged with $15.9 Million Ponzi Scheme |
Former Lehman Trader Launching Credit Focused SaKa Capital |
Cheyne hires Giampoaoli, Launches Equity Macro Fund |
Children's Investment Fund Cutting Fees, Scaling Back Activism |
Mellon Capital Launching Commodity Hedge Fund |
Yahoo's Bartz on the Right Track |
SEC Scrutinizes Shareholder Activists use of Swap Agreements |
Atticus Raises its Paddle with SAC for Sotheby's |
Hall of Fraud Top 10
Firm | Assets* |
Madoff Investments LLC | 64,800 |
Stanford Financial Group | 8,000 |
Petters Group Worldwide | 3,500 |
Frankel International & Frankel Chemical | 1,200 |
Satyam Computer Services | 1,000 |
Westgate Capital Management, LLC | 900 |
Capitol Investments USA, Inc | 900 |
Dreier LLP | 700 |
WG Trading Co | 554 |
Weavering Capital | 500 |
*Estimate of alleged Fraud/Investor Losses ($MM) | |