Claus C. Foerster—Ponzi Scam
Claus C. Foerster Allegedly Defrauded Clients of Approximately $2.8 Million in Purported Long-Term Ponzi Scam
Claus C. Foerster, 55, of Spartanburg, S.C., allegedly defrauded clients of about $2.8 million while employed as a financial adviser at Morgan Keegan & Co. and Raymond James Financial Inc., according to a five-count indictment handed down in federal court currently under review by attorneys Jason Kane and Joe Peiffer.
Claus C. Foerster, between 2000 and 2014, allegedly advised clients to sink their money into SG Investment Management, a company that was “totally fictitious” and “created solely by the Defendant solely to further his scheme to defraud”, the aforementioned indictment alleges.
The Peiffer Wolf Carr & Kane securities lawyers are currently investigating Claus C. Foerster and his alleged Ponzi scheme.
Claus C. Foerster Allegedly Afforded Clients with “Totally Bogus Earning Statements” of His Own Creation in Order to Demonstrate that Client Funds were Invested and Earning Profits; Foerster Banned by FINRA in 2014
Claus C. Foerster, a financial adviser at Morgan Keegan & Co. and Raymond James Financial Inc. in Greenville, S.C., allegedly provided his investors with “totally bogus earning statements” that he created himself, according to the aforementioned indictment being examined by attorneys Joe Peiffer and Jason Kane.
Claus C. Foerster would allegedly return a portion of the aforementioned obtained funds to some clients to make it appear that their funds were actually invested and earning profits, the indictment reports.
It should also be noted that FINRA permanently barred Foerster from the industry in June 2014, and, according to FIRA, Foerster was a registered broker at J.C. Bradford & Co. in New York City before working for Citigroup Global Markets Inc. in Spartanburg from 1997 to 2008 and Morgan Keegan & Co. in Greenville from 2008 to 2013.
Securities Lawyers Investigating
The Peiffer Wolf Carr & Kane securities lawyers often represent investors who lose money as a result of Ponzi schemes and are currently investigating Claus C. Foerster’s alleged Ponzi scheme. They take most cases of this type on a contingency fee basis and advance the case costs, and only get paid for their fees and costs out of money they recover for their clients.
Investors who believe they lost money as a result of C. Foerster’s alleged Ponzi scheme are encouraged to contact the securities lawyers at Peiffer Wolf Carr & Kane, Jason Kane or Joe Peiffer, for a free no-obligation evaluation of their recovery options, at (585) 310-5140.