On June 19th, 2018, the SEC announced that investment fraud charges have been filed against five men and three companies, including the following:
- Perry Santillo;
- Christopher Parris;
- Paul Anthony Larocco;
- John Piccarreto;
- Thomas Brenner;
- First Nationale Solution;
- Percipience Global Corporation; and
- United RL Capital Services.
According to the agency, these men worked through these companies to perpetuate a massive Ponzi scheme. Altogether, the SEC believes that the fraud scheme took in $102 million from at least 637 different investors. The full SEC complaint can be read here.
If you invested with these companies or persons directly or via any financial advisor you may have a claim for damages to recover your lost investments. Call us now at (305) 912-3000 or contact us online for a free consultation. We represent investors nationwide.
The Former FINRA Brokers Bought ‘Books’ From Retiring Financial Advisors
The SEC alleges that this Ponzi scheme began in 2011. At that time, Mr. Santillo and Mr. Parris began purchasing the business ‘books’ of FINRA brokers who were retiring from the industry.
With the help of their sales representatives , these individuals undertook an effort to try to pressure investors to move their money out of safe and traditional investments and into their private securities offerings.
As is often the case with Ponzi schemes, retirement savings were targeted and many elderly investors were defrauded.
Innocent Investors Were Pushed Into Fake Companies
Investors were encouraged to put their money into three main companies: First Nationale Solution, Percipience Global Corporation, and United RL Capital Services. In each case, the investors were wrongly informed that these companies were successful financial services operations.
For example, investors put more than $46 million into First National Solution. These investors were told that First National managed over $146 million in financial assets. In reality, SEC regulators believe that this company had little or no actual business. There is no evidence that Percipience or United RL were legitimate operations either.
Money Was Stolen, Transferred Around
Unfortunately, these companies operated like classic Ponzi scheme. A significant amount of investor money was misappropriated. The SEC alleges that the fraudsters took at least $20 million from investors. This money funded luxury purchases like high end clothing, Las Vegas parties, vehicles, and houses.
Another $38 million was transferred around between the investors: using the money from new investors, the original investors were paid interest. While investors were shown impressive gains on paper, sadly these gains were entirely fraudulent.
The People and Entities Behind the Ponzi Scheme
On June 19th, the Securities and Exchange Commission (SEC) announced investment fraud charges against Perry Santillo. According to federal investigators, Perry Santillo was a lead perpetrator in a $102 million Ponzi scheme.
A former FINRA-registered broker, Mr. Santillo is alleged to have offered securities in three fraudulent companies:
- First Nationale Solution;
- Percipience Global Corporation, and
- United RL Capital Services.
The SEC believes that none of these three companies had legitimate business operations, but were instead the conduit for a complex Ponzi scheme.
Christopher Parris in a former FINRA-registered broker who was barred from the financial services industry in 2015 after failing to respond to FINRA request for information.
Parris was previously employed by NYLife Securities and Nationwide Securities. He was charged by the SEC in June 2018 of operating a massive ponzi scheme.
The Securities and Exchange Commission (SEC) has charged Paul Anthony Larocco of Ocala, FL in a $102 million Ponzi scheme. The SEC contends that Mr. Larocco unlawfully siphoned off at least $1.1 million from investors.
Mr. Larocco has previously been barred from the securities industry by FINRA. He is alleged to have offered and sold unregistered securities in two fraudulent companies: United RL Capital Services and First Nationale Solution.
In June, the Securities and Exchange Commission (SEC) charged John Piccarreto of San Antonio, TX. A former FINRA broker who was previously suspended from the industry for selling unregistered securities, Mr. Piccarreto is alleged to have offered securities in three fraudulent companies: First Nationale Solution, Percipience Global Corporation, and United RL Capital Services.
Altogether, the SEC believes that Mr. Piccarreto personally misappropriated at least $1.3 million in investor funds.
According to a complaint filed by the Securities and Exchange Commission (SEC), Thomas Brenner of Orrville, OH has been implicated in a $102 million Ponzi scheme.
A former FINRA broker who was barred for making material misrepresentations to investors, Mr. Brenner is being accused of offering and selling securities in two fraudulent companies: Percipience Global Corporation and United RL Capital Services.
Investigators allege that Mr. Brenner has misappropriated more than $2.9 million in investor money.
United RL Capital Services
The five men that the SEC has charged used three different companies to facilitate a $102 million Ponzi scheme. Through one of the companies, United RL Capital Services, these men defrauded at least 183 investors and took in more than $25 million.
United RL purported to finance medical laboratories. However, the SEC believes that this company had little to no legitimate business operations. Instead, it was simply used to further a Ponzi scheme.
First Nationale Solution
First Nationale Solution was purported to operate in the business of leveraged investments and real estate development. While more than $46 million was raised from 318 different investors, the SEC has found no evidence to indicate that First Nationale Solution has any legitimate business operations.
Percipience Global Corporation
Purportedly, the Delaware-based Percipience Global Corporation conducted business by offering loans for the purchase and renovation of single-family residences. While the SEC found that Percipience Global Corporation raised more than $22 million from 209 different investors, federal officials do not believe that this company has any valid business operations. Instead, it was used as part of a complex Ponzi scheme.
Contact Our Ponzi Scheme attorneys Today
At Sonn Law Group, our dedicated ponzi scheme lawyers have extensive experience handling Ponzi scheme claims. If you or a loved one lost money in a Ponzi scheme, our law firm can help. For a free, no obligation investment fraud consultation, please contact us today.
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