Ron McCullough and David Mayhew Charged with Fraud
Ron E. McCullough and David C. Mayhew (also known as David Mahew) defrauded investors in connection with leveraged or margined off-exchange foreign currency (forex) trading, according to a complaint filed by the United States Commodity Futures Trading Commission (CFTC).
McCullough and Mayhew oversaw the fraudulent solicitation of approximately $2.3 million from at least 11 investors to trade forex while misrepresenting the risks of trading forex, falsely guaranteeing the return of the investors’ principal, falsely promising high returns, and failing to disclose that they intended to use investor funds to pay principal and purported profits to other customers and for personal expenses, according to regulators’ complaint.
McCullough and Mayhew misappropriated approximately $808,000 to make payments to customers and misappropriated $829,000 of investors’ funds to pay their personal expenses, including airfare and hotels, an online forex trading course, and liposuction for Mayhew, according to the complaint.
All of this occurred while Mayhew allegedly caused false statements to be issued to investors that concealed the misappropriation of funds, trading losses, and lack of trading.
The Peiffer Wolf 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 with the recovery of their 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 Wolf, Jason Kane or Joe Peiffer, for a free, no-obligation evaluation of their recovery options, at 585-310-5140.