Another day, another Ponzi indictment from Williamson County

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Another day, another Ponzi indictment from Williamson County

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Sunday, 02 May 2010 12:06

The information and federal felony criminal complaint against William Walker, Spencer (67 years), former adviser to Franklin Financial, on 2 April in U.S. District Court for the Middle District of Tennessee, with Spencer charging 11 counts of fraud.
The mail fraud charges and is based on the role of Spencer's alleged involvement in misappropriation of more than 1.4 million in client funds, Ed, harmful, U.S. Attorney for the Middle District of Tennessee, in a statement. To join the team work that is harmful in the investigation and the agents of the FBI and the United States Postal Inspection Service and the Police Department Franklin. Assistant U.S. Attorney John Webb is the case for the prosecution of the federal government.

They say that from December 1997 until last November, Spencer is working Ponzi scheme to invest in and asked to borrow 1.9 million dollars from about 100 friends, clients and investors, promising annual returns of between 10 percent to 12 percent.

Are all characterized by Spencer investment loan "personal" and executed, and provided a promissory note for each investor. He also pledged his personal assets and life insurance as collateral for each note, investors, and promised that he will repay the principal of between six months to a year.

Spencer said investors had been put money to work in collective investment funds aimed at maximizing the return on investment. It would encourage investors from outside the exchange investments matured, comments, saying that this would reduce the revenue as well as those that combine other investors.

Investigators said Spencer was not the assets or income necessary to pay interest was promising for investors. When questioned by investors, disclosure of the nature or location of the invested funds and limited withdrawals until the investor can be found on the replacement.

The indictment against Spencer says he has not invested any of the funds sought, but instead used to pay personal expenses and sometimes to divert profits and a fake or return key to some investors.

Organizers moved the start against Spencer last summer. Spencer entered in August, and the financial industry permanently banned Regulatory Authority Spencer of being a broker dealer for violating rules of conduct, in mid-November in the order of consent with the Tennessee Commissioner of Commerce and Insurance. This system cancellation insurance producer license and registration as an agent under the Securities Act and Tennessee, and barred him permanently from applying for a license in the future.

"Such cases are devastating for investors, especially people who invest their savings with individuals they trust, only to find that it was misplaced confidence," said harmful.

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