Robert Rocco Charged with Orchestrating $5 Million Ponzi Scheme
Robert Rocco, 48, has been charged in a 14-count indictment filed in a New York federal district court with fraud regarding a series of business ventures he created. Rocco was recently arrested and arraigned before the Honorable Leonard Wexler in the Federal Courthouse in Central Islip.
Rocco, while acting as the Dix Hills Soccer Club president, solicited club members, volunteers, friends, and neighbors to invest money in businesses he formed.
He assured investors that their investments would earn up to 18% of their principal investment in ventures that supposedly included a credit card processing venture and giving loans to finance wholesale cigarette purchases in behalf of the Shinnecock Nation tobacco shop, according to the allegations.
The businesses included are Limestone Capital Services (Limestone), Advent Merchant Services LLC, and Advent Equity Partners LLC.
Rocco allegedly received approximately $5 million in investor money between 2006 and 2013 and misappropriated the same while soliciting money from new investors, whose monies were in turn used to pay purported profits to earlier investors, concealing earlier misappropriations, stated in the indictment.
He also allegedly sent fraudulent account statements to investors falsely showing that their accounts earned high rates of return.
Robert Rocco allegedly controlled the Dix Hills Soccer Club bank accounts and records. He prohibited others to have access to them and, between January and March 2010, deposited $66,915 in checks from Dix Hills into Limestone, later on distributing the check proceeds to early investors in Limestone, leaving Dix Hills with no operating funds.
In April 2010, Rocco allegedly received donations to allow the club to continue operations, according to the indictment.
The Peiffer Rosca securities 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 investors the victims with the recovery of their investment losses. 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 Rosca, Alan Rosca or Joe Peiffer, for a free, no obligation evaluation of their recovery options, at 888-998-0520.