Paul Souder Pleads Guilty to Fraud Charges after Taking More Than $1 million from Investors
Paul Souder, of Harrisonburg, Virginia pled guilty to fraud charges in connection with the issuance of promissory notes that occurred between June 2007 and October 2013.
Souder obtained money from at least 18 investors through the issuance of promissory notes. Sounder informed investors that he would utilize his personal trading strategy to invest the borrowed money and pay a return to the investors ranging up to 10% per quarter.
Souder did pool part of the investors’ money into an account under his exclusive control and opened an online trading account that he operated out of his home. Souder sent quarterly statements to investors and informed them of the status of their accounts. However, Souder never reported any losses
Souder stole approximately $1.2 million from investors.
Souder admitted that he never generated any actual financial returns of profits for the benefit of his clients through online trading. The entire promissory note program was fraudulent and Souder only used approximately half of the funds he obtained from investors to trade online and incurred losses as a result of his online trading.
The Peiffer Wolf securities practice attorneys often represent investors who lose money as a result of Ponzi schemes, investment fraud, or stockbroker misconduct. They are currently investigating the possibility of assisting victims with the recovery of their losses in connection with virtual currency investments. 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 investment fraud or misconduct may contact the securities lawyers at Peiffer Wolf, Jason Kane or Joe Peiffer, for a free, no-obligation evaluation of their recovery options, at 585-310-5140.