Scott Summerhays Pleads Guilty to Fraud in Golf Course Scheme
Scott H. Summerhays managed to convince 11 persons to loan him a total of $3.6 million to purchase a golf course, giving out false promises and using a false identity. Summerhays pleaded guilty to 24 Federal felony charges, according to Daniel G. Bogden, United States Attorney for the district of Nevada.
Summerhays, 55, formerly from South Lake Tahoe, and now in custody in Reno, pleaded guilty on the first day of his trial. He faces 14 counts of wire fraud, 7 counts of money laundering, 2 counts of theft, and 1 count of aggravated identity theft. He is scheduled to be sentenced on May 29, 2014, at 10:00 a.m. by U.S. District Judge Larry R. Hicks.
“This is the second person to be convicted or sentenced of federal investment fraud charges in the northern Nevada area this week. In both cases, the defendants led their victims to believe that they were legitimate businessmen and used fraudulent documents to support their scheme. If you are considering a financial arrangement with someone, be sure to check the veracity of any documents they provide you, as fraudulent documents are common and easy to create.” According to U.S. Attorney Bogden.
Summerhays represented himself as a person who would purchase Genoa Lakers Golf Club, west of Gardneville, Nev., for $17 million to possible investors. Summerhays asked for a loan, that he will repay in a short period of time, claiming that his money is tied up in a trust. Summerhays claimed that he has solicited funds for oil and gas investments in Texas and owned more than $30 million of stocks. Summerhays presented false investment accounts to the investors to make them at peace with their money. Summerhays also claimed that he and Sheldon Aldelson, owner of Las Vegas Sands, are business partners, and then showed partnership agreement that contains Aldelson’s forged signature.
Aldelson claims that he had never heard of Summerhays and they have no partnership. Summarhays got a total of $3.6 million from the 11 investors, none were ever repaid.
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.