To lend credibility to the Ponzi scheme and to elude detection, Good also used a portion of investor funds to make payments to earlier investors. Instead of investing in land development or bonds, Good used the money for personal expenditures including his Wilmington residence a condominium in Florida luxury vehicles including a Mercedes Benz, a Porsche Boxster, a Tesla Model 3, an Alpha Romeo Stelvio, and a Lexus RX350 fine dining and vacations to Paris, France Cinca Terra, Italy Jackson, Wyoming Las Vegas, Nevada and other destinations. Other victims paid Good by paper check and wire transfers using funds derived from sources other than Morgan Stanley accounts.Īt least 12 victims invested approximately $7,246,300 based on false statements and misrepresentations made by Good. Good directed clients to transfer the LAL funds to their personal bank accounts and then wire the funds directly to Good’s own personal bank account. To effectuate these investments, Good caused some clients to obtain a liquid asset line of credit (LAL) secured by their Morgan Stanley investment or retirement accounts. Specifically, Good solicited investments from business clients and others for purported real estate projects and tax-free municipal bonds, touting these opportunities as low-risk investments that would pay returns of between 6% and 10% over three- or six-month terms. From 2012 to February 2022, Good executed a scheme to obtain money through an investment fraud commonly known as a Ponzi scheme. As for the individuals who intentionally target vulnerable populations in their fraudulent schemes, they should anticipate we will always pursue justice vigorously on behalf of those we serve and protect” said North Carolina State Bureau of Investigation Director Robert Schurmeier.Īccording to court documents and information presented in court, Good was employed as a registered representative and investment advisor for Morgan Stanley Smith Barney, LLC in Wilmington. “The SBI’s Financial Crimes Unit is proud to have joined the efforts in this investigation to help bring about closure and justice to the victims. The IRS is actively pursuing promoters as well as investors who knowingly participate in these types of tax avoidance schemes." “Investment schemes that seem too good to be true should be a signal to investors to stay clear. “The IRS uses all its investigative tools to uncover abusive tax schemes that misappropriate client funds for personal gain by advisors and brokers,” said Donald “Trey” Eakins, IRS Criminal Investigation, Charlotte Field Office. Now he will spend the next seven-plus years in federal prison.” Faced with a choice between right and wrong, Mr. His scheme has finally come to an end thanks to the unshakable courage of the victims and the hard work of law enforcement at the IRS and the SBI. He did it out of pure greed, to fuel his lavish lifestyle – purchasing luxury cars, exotic vacations and real estate. “Shawn Good robbed the savings and retirements of clients who trusted him – including a widow, a single mom, and a retired police officer. “This investment advisor was a financial predator who used his position of trust to run a decade-long Ponzi scheme that took in more than $7 million from over a dozen clients,” said U.S. Good was also ordered to pay $3,619,594 in restitution to victims. Good pleaded guilty to wire fraud and money laundering on September 15, 2022. – Shawn Edward Good of Wilmington, was sentenced today to 87 months in prison followed by three years of supervised release for carrying out a $7 million dollar investment fraud scheme.
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |