Richard Wyatt Davis – Investment Scheme
Richard Wyatt Davis Allegedly Ran a $19 Million Investment Scheme Involving up to 100 Investors that Included Church Members and Local Pro Athletes
Richard Wyatt Davis, from about 2005 through 2016, allegedly defrauded over 100 investors of more than $19 million, according to an Indictment from U.S. Attorney’s Office for the Western District of North Carolina currently under review by attorneys Jason Kane and James Booker.
Of the 100 purported aforementioned victims there were local professional athletes and members of Davis’s own church, according to the aforementioned Indictment.
Richard Wyatt Davis allegedly induced his investors to put their hard-earned cash into purportedly fraudulent investment funds controlled by Davis himself, including the DCG Commercial Fund I and DCG Real Assets, and also other fraudulent investment vehicles, which were collectively known as Davis Entities, the Indictment further alleges.
Davis allegedly brought in his so-called victim-investors through a number of measures, the Indictment alleges.
The first method was by allegedly making misrepresentations involving his credentials such as his educational background and being a Registered Financial Consultant, the Indictment reports.
Davis then went on to allegedly broadcast to his victim-investors that the fraudulent investment vehicles he was hawking were purportedly low-risk investments, according to the Indictment.
The Indictment goes on to detail that the aforementioned allegedly fraudulent investments included real estate, precious metals, and natural resources and were marketed as a safe alternative to the stock market.
Davis, in an alleged attempt to avoid having to make victim withdrawals requests, allegedly gave numerous excuses, including that the victims’ money was unavailable because the funds were tied up in investments with specific maturity periods, the Indictment reports.
Furthermore, the Indictment adds that Davis also allegedly made false statements to victims advising them that they needed to invest additional funds to secure the return to their original investment.
What is more, Davis also allegedly made frequently evasive statements or did not report to investors’ inquiries regarding the status of their investments, and even purportedly made threats to discontinue managing the investments if investors asked for too much information, the Indictment reports.
The Peiffer Wolf Carr & Kane securities lawyers are investigating Richard Wyatt Davis’s alleged investment scheme.
Richard Wyatt Davis Allegedly Made False Representations to Investors that Davis Entities Made an Average Net Internal Rate of 32% and also Allegedly Targeted So-called “Preppers” or Survivalists Weary of the Stock Market and Banks
Richard Wyatt Davis allegedly made false representations to potential investors saying that Davis Entities transactions had received an average net internal rate of return of 32% percent, which was not true, according to an Indictment from U.S. Attorney’s Office for the Western District of North Carolina presently being examined by attorneys Jason Kane and James Booker.
Davis’s alleged false representations allegedly induced many investors to put their complete retirement savings into the aforementioned Davis Entities, said Indictment notes.
Davis, rather than invest the cash, instead allegedly transferred most of the victims’ money to other entities he controlled, and then purportedly used some of the funds to make Ponzi-style payments to earlier investors to conceal and prolong the scheme, according to the Indictment.
The Indictment then makes interesting allegations that Davis went after people from the Charlotte area, and also made speeches at events for so-called “preppers” and survivalists.
The so-called preppers are purportedly fearful of the stock market and the banking system and many also fear the stock markets and banks, and also shared similar religious views, the Indictment reports.
Davis, who has recently been charged with one count of wire fraud, two counts of securities fraud and three counts of tax evasion, has also been accused of spending investment cash on personal expenses, the Indictment notes.
Davis allegedly used the investor money to pay his and his then-wife’s personal credit cards and his mortgage, vacation homes, vehicles, nannies, a personal chef and a groundskeeper, the Indictment reports.
Finally, the indictment also claims Davis allegedly filed false tax returns for 2009 and 2011 that reflected negative total income, but also allegedly did not file individual income tax returns for 2010 and 2012.
Securities Lawyers Investigating
The Peiffer Wolf Carr & Kane securities lawyers often represent investors who lose money as a result of alleged property fraud and are currently investigating Richard Wyatt Davis’s alleged investment fraud. 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. They are monitoring the case and would like to talk to investors.
Investors who believe they lost money as a result of Richard Wyatt Davis’s alleged acts of property fraud may contact the securities lawyers at Peiffer Wolf Carr & Kane, Jason Kane or James Booker, for a free no-obligation evaluation of their recovery options, at (585) 310-5140 or via e-mail at email@example.com or firstname.lastname@example.org.