The Florida Office of Financial Regulation (“FL OFR”) announced that six alleged investment fraudsters have been charged with causing $3 million in investment losses to Florida residents. According to FL OFR’s press release, the Broward County Sheriff’s Office arrested five Florida residents – Eddy Ubaldo Marin, Kenneth Saluk, Roberto Alford, Farrell Jeanty, and Peter Lanceault. In addition, a detainer was filed against a sixth individual, Christopher Fardella.
The individuals have been charged with various felony counts including: violation of the Florida Racketeer Influenced Corrupt Organizations Act; violation of the Florida Securities and Investor Protection Act; grand theft; sales of unregistered securities; and sales of securities by an unregistered dealer, associated person or issuer. The Florida Securities and Investor Protection Act allows for the recovery of triple the amount of damages.
According to FL OFR, a joint investigation by the Broward Sheriff’s Office and FL OFR, discovered that the individuals were selling securities in various companies through an entity known as FMN Holdings, LLC. However, according to law enforcement, neither FMN Holdings nor the individuals were licensed to promote or sell securities in the State of Florida to Florida residents.
The news release by FL OFR, states that from April to September 2009, FMN Holdings allegedly sold stock in Helix Wind, Inc. and Green LED Technologies, LLC to approximately 130 investors, including many Florida residents, despite the fact that the stocks were not registered and were not exempt from registration. Helix Wind purportedly sold wind turbines and was based in Poway, California. Green LED Technologies was allegedly a seller of LED lighting in Dania, Florida.
According to FL OFR, FMN Holdings never disbursed any funds to Helix Wind or Green LED Technologies, rather the defendants allegedly used investors’ funds for their own personal benefit. FL OFR claims that approximately $3 million was raised from around 130 investors nationwide.
Investors are encouraged to research potential investments and their financial professionals before making any investment. Click here to read tips by the Securities and Exchange Commission on how to research potential investments. Financial professionals can be researched here.
Investors who may have been the victims of financial fraud can read additional information on our website about bringing actions to recover their losses.