Steven Simmons— Ponzi Scheme
Steven Simmons Recently Pleaded Guilty to One Alleged Count of Conspiracy after Being Charged in an Alleged $81 Million “Hamilton” Ponzi Scheme
Steven Simmons, 48, of Wilton, Connecticut, was charged in January in an alleged $81 million “Hamilton” Ponzi scheme and subsequently pleaded guilty Monday to one count of conspiracy, according to Court Reports from a Manhattan federal court currently under review by attorneys Alan Rosca and James Booker.
Peiffer Rosca Wolf securities practice lawyers are investigating Steven Simmons’ alleged “Hamilton” Ponzi scheme.
Investors who believe they may have lost money in activity related to Steven Simmons’ alleged “Hamilton” Ponzi scheme are encouraged to contact attorneys Alan Rosca or James Booker with any useful information or for a free, no obligation discussion about their options.
Steven Simmons, between 2013 and January 2017, allegedly solicited more than $6 million in investments for a hedge fund which allegedly sold tickets for big events like the Broadway hit “Hamilton”, according to the aforementioned Court Reports.
Simmons, however, allegedly misappropriated some of the clients’ funds for his own personal use and also allegedly used the rest of the funds to pay back prior investors, a telltale sign of a purported a Ponzi-like scheme, the Reports note.
Simmons, between the aforementioned time, allegedly solicited investments by making false representations to investors that their money would be used by the hedge fund for legitimate and specific investment purposes, that they would get back a specific rates of return, and that their investments would not be placed at risk or commingled with other funds, the Court Reports state.
U.S. Attorney Joon H. Kim has made the following statement:
“Steven Simmons engaged in one of the oldest frauds in the book: using investor funds to pay back earlier investors, all while skimming funds off the top for his own personal use. When investors demanded the returns promised to them, they learned that the entire investment was just a scam. Now Simmons, who admitted his guilt in court today, will answer for his crimes.”
In reality, Simmons not only allegedly failed to invest the investor monies as promised, but, instead, diverted investor funds for his own personal own use and also, together with others, purportedly used the money in a Ponzi-like fashion to fund the repayment of earlier investors in the hedge fund whose redemption requests could not be forestalled, the Reports state.
Steven Simmons Allegedly Provided Investors with False Monthly Statements and has Purportedly Agreed to Forfeit $6,900,000
Steven Simmons allegedly solicited investment funds from an entity known as “Victim Entity-1” for the purported purpose of delivering payments of an earlier investor in the aforementioned Hedge Fund, according to Court Reports from a Manhattan federal court presently being examined by attorneys Alan Rosca and James Booker.
Within minutes of their reception by the Hedge Fund a majority of the purported victims of Entity-1’s funds were allegedly wired to the earlier investor, the Reports note.
Simmons, in a later consensually recorded conversation with a so-called cooperating witness, allegedly expressed concerns that Victim Entity-1 would then contact the portfolio managers with whom it believed its funds were invested and purportedly make the revelation that “there’s no . . . money.”, according to Court Reports.
Simmons, in part of the alleged aforementioned fraudulent scheme, also allegedly created and provided investors with false monthly statements, the Reports note.
Simmons, as a result, has purportedly pled guilty to one count of conspiracy to commit securities fraud and wire fraud, and the conspiracy count holds a maximum sentence of five years in prison and a maximum fine of $250,000, or twice the gross gain or loss from the offense, the Reports state.
What is more, pursuant to a purported plea agreement with the Government, Simmons allegedly agreed to forfeit $6,900,000, the Reports state.
The maximum potential sentence in this case is prescribed by Congress, according to the aforementioned Reports, and any sentencing of the defendant will be determined by the judge, and Simmons will be reportedly be sentenced at a date set by the Court, the Reports note.
Securities Lawyers Investigating
The Peiffer Rosca Wolf securities lawyers often represent investors who lose money as a result of investment-related fraud or misconduct and are currently investigating Steven Simmons’ alleged “Hamilton” Ponzi scheme. 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 Steven Simmons’ alleged “Hamilton” Ponzi scheme may contact the securities lawyers at Peiffer Rosca Wolf, Alan Rosca or James Booker, for a free no-obligation evaluation of their recovery options, at 888-998-0520 or via e-mail at email@example.com or firstname.lastname@example.org.