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ÍøÆØ³Ô¹Ïlls Fargo Agrees To $3.75 Million Deal Concluding Ponzi-Aid Dispute

Posted on July 1st, 2022 at 1:16 PM
ÍøÆØ³Ô¹Ïlls Fargo Agrees To $3.75 Million Deal Concluding Ponzi-Aid Dispute

From the Desk of Jim Eccleston at ÍøÆØ³Ô¹Ï:

Investors who alleged that ÍøÆØ³Ô¹Ïlls Fargo aided and abetted a real estate Ponzi scheme have asked a California federal judge for permission to proceed with a $3.75 million settlement. 

The scheme, which was perpetuated by Jerome Cohen, Shaun Cohen, and EquityBuild Inc., generated at least $135 million from hundreds of investors, according to the SEC. 

EquityBuild investors have accused ÍøÆØ³Ô¹Ïlls Fargo of aiding and abetting the Ponzi scheme, which utilized the bank to wire, commingle, and disburse investor funds. In 2020, Judge Haywood Gilliam permitted investors to pursue some claims after finding that the SEC’s complaint raised plausible allegations that ÍøÆØ³Ô¹Ïlls Fargo had knowledge of the purported scheme and provided substantial assistance. 

ÍøÆØ³Ô¹Ï LLC represents investors and financial advisors nationwide in securities, employment, regulatory and disciplinary matters.

Tags: eccleston, eccleston law, wells fargo, ponzi

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