Yasuna Murakami—Ponzi Scheme Investigation

New Orleans stockbroker fraud attorney

Yasuna Murakami Allegedly Operated a Ponzi Scheme Which Allegedly Took in $15.3 Million from 47 Investors; Investor Right Attorneys Investigating

Yasuna Murakami, a Boston-area fund manager, allegedly operated a Ponzi scheme which allegedly took in $15.3 million from 47 investors, according to a Complaint from the Massachusetts Division of Securities currently under review by Peiffer Wolf attorneys Joe Peiffer and James Booker.

Several Peiffer Wolf securities practice lawyers are investigating investment recovery options on behalf of investors in Murakami – operated hedge funds such as MC2 Capital Canadian Opportunities Fund, MC2 Capital Partners, and MC2 Capital Value Partners. Investors who believe they may have lost money in Murakami’s MC2 Capital Canadian Opportunities Fund and his other hedge funds are encouraged to contact attorneys Joe Peiffer or James Booker with any useful information or for a free, no obligation discussion about their options.

The Complaint against Murakami and several entities he controlled alleges that the real trouble began with “devastating early trading losses in the Partners Fund”, the Complaint notes.

Said Complaint further alleges that Yasuna Murakami ran MC2 Capital of Cambridge, Massachusetts, which allegedly targeted an unnamed institutional investor from the Boston area who put $2 million into the purported scheme, according to the Office of Secretary of the Commonwealth of Massachusetts, William Galvin.

Yasuna Murakami and his MC2 Capital’s hedge funds are now facing the fact that they may be barred by William Galvin and the Massachusetts Division of Securities.

Galvin describes the case as representing “a classic example of a shell game of moving the money from one investor to another with some left over to fatten the coffers of the money manager”, according to reports from Massachusetts.

The story begins in 2007 when Murakami purportedly started his hedge fund with the MC2 Capital Partners fund, the Complaint notes.

MC2 Capital Partners Fund was purportedly marketed to family members and friends and went on to take on over $3.5 million, the Complaint states.

MC2 Capital Partners, however, by late 2008, then allegedly had a negative balance of about $2.4 million which then sparked a margin call that erased investors’ equity, according to statements from Galvin.

A second fund, MC2 Capital Value Partners Fund, is also allegedly facing similar results, according to said Complaint from the Massachusetts Division of Securities.

Most funds were allegedly lost in the third fund, MC2 Capital Canadian Opportunities, a fund that was initially managed by a joint venture between Murakami and a Canadian hedge fund management company.

The Peiffer Wolf lawyers are particularly interested in talking to investors in MC2 Capital Canadian Opportunities.

The aforementioned Complaint also alleges that investor money was used to pay personal expenses such as luxury hotels, liquor stores, specialty cars, American Express bills, and high-end shops such as Nordstrom, Saks Fifth Avenue, according to statements from Galvin’s office.

The Peiffer Wolf securities lawyers are investigating Yasuna Murakami and his MC2 Capital’s alleged Ponzi scheme.

Murakami Purportedly Misled New Clients to Bring in More Cash and Has Misappropriated Millions of Dollars for Personal Gain

Yasuna Murakami has allegedly lost most investor money, including the vast majority of the money invested in MC2 Capital Canadian Opportunities fund, according to a Complaint from the Massachusetts Division of Securities presently being examined by attorneys Joe Peiffer and James Booker.

What is more, Murakami has also purportedly misled new clients to bring in more cash, by failing to disclose to them his past failures with earlier hedge funds he managed, and has misappropriated millions of dollars for personal gain, the Complaint notes.

Murakami failed to disclose to new investors – including investors in MC2 Capital Canadian Opportunities fund – that substantially all the investment bets he made for his earlier hedge funds were unsuccessful. After losing the money he managed in his earlier hedge fund, MC2 Capital Partners, Murakami allegedly started MC2Capital Value Partners Fund in 2009, the Complaint states.

MC2Capital Value Partners Fund, similar to its predecessors, allegedly lost serious amounts of cash, and he allegedly started a third similarly named fund and also purportedly  partnered with a successful Toronto firm in an attempt to bring in and recruit more investors, the Complaint notes.

Next, Murakami later made a deal with a Toronto – based hedge fund management company to originate MC2 Capital Canadian Opportunities Fund in 2011, according to a statement from Galvin.

The Massachusetts Division of Securities goes on to detail how the Canadian hedge fund management firm allegedly was important in getting investors to throw in money, including a Boston– area institutional investor.

By May of 2015, however, the Canadian hedge fund management firm allegedly cut ties to the MC2 entities, the Complaint states.

Galvin further alleges that Murakami allegedly misappropriated investor money from the Canadian fund and used it to pay promised returns or redemptions to investors in the other two MC2 funds, the Complaint states.

Said action is usually one of the telltale signs of a Ponzi scheme.

Murakami was allegedly summoned to testify before the enforcement section of the securities division, but Murakami invoked his privilege against self-incrimination, Galvin has also stated.

Based on the aforementioned actions the Massachusetts Division of Securities has recommended that Murakami “cease and desist” all actions and provide and account for all losses attributed to the alleged wrongdoing.

What is more, the Division is also asking that Murakami disgorge all profits, the Complaint notes.

Securities Lawyers Investigating

The Peiffer Wolf securities lawyers often represent investors who lose money as a result of Ponzi schemes and are currently investigating Yasuna Murakami’s alleged 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 Yasuna Murakami’s alleged Ponzi scheme – and in particular investors in the MC2 Capital Canadian Opportunities fund – may contact the securities lawyers at Peiffer Wolf, Joe Peiffer or James Booker, for a free no-obligation evaluation of their recovery options, at 504-523-2434 or via e-mail at jpeiffer@pwcklegal.com or jbooker@pwcklegal.com.

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In our legal system, every person is innocent until and unless found guilty by a court of law or a tribunal. Whenever we reference “allegations” or charges that are “alleged,” such allegations or charges have not been proven, and are merely accusations, not findings of fault, as of the date of the blog. We do not have, nor do we undertake, a duty to continue to monitor or follow cases about which we report, and/or to publish subsequent blogs regarding various developments that may occur in such cases. Readers are encouraged to conduct their own research regarding any such cases and any developments that may or may not have occurred in such cases.