Tuesday, December 27, 2011
Mormon Ponzi Scheme
The SEC claims Wendell and Allen Jacobson used their LDS Church membership to gain the trust of investors.
A statement by the SEC says Jacobson, and his son Allen, 33, “offer investors the opportunity to share ownership of large apartment communities in eight states," but instead "are merely pooling the money raised from investors into large bank accounts from which they are siphoning money to pay family expenses and the operating expenses of their various companies.”
Read More: Wendell Jacobson
The father and son “raised more than $220 million from approximately 225 investors through a complex web of entities under the umbrella of Management Solutions, Inc.,” the SEC alleges.