Notable litigation filed during March 2023 includes: (1) SEC v. Woodard; (2) SEC v. Kaplan; (3) James Bay Resources Limited, et al. v. Lockett & Horwitz, et al.; (4) Miklos v. McNamara, et al.; and (5) Scura, et al. v. Heppner, et al.
New Complaint – SEC v. Alexandra Robert, et al.
Securities and Exchange Commission v. Alexandra Robert et al. was filed in the United States District Court for the Southern District of Florida on July 26, 2022, claiming violations of several provisions of the Securities Act and Securities Exchange Act. Specifically, the SEC seeks permanent injunctive relief against all Defendants in order to prevent future violations of the federal securities laws, disgorgement of any ill-gotten gains, and civil damages.
The SEC brought this action against Defendants Alexandra Robert (“Robert”), the owner, founder, and CEO of Defendants Chalala Academy LLC (“Chalala”), a Florida limited liability company, and Lendvesting Academy Corp. (“Lendvesting”), a Florida-registered corporation formerly operating as a d/b/a of Chalala.
The complaint alleges from at least May 2020 through August 2021, Defendants fraudulently raised approximately $900,000 from roughly 80 investors, mostly Haitian and Haitian-Americans living in South Florida, by offering unregistered “investment programs” falsely promising guaranteed returns of up to 48%. Defendants falsely told investors that they would make interest generating loans to small businesses that would otherwise not qualify for traditional financing, thereby providing investors with high fixed returns.Continue Reading New Complaint – SEC v. Alexandra Robert, et al.
New Complaint – Bui v. Nguyen, et al.
Bui v. Nguyen was filed in California Superior Court on December 30, 2021, claiming relief for civil damages. Specifically, the complaint alleges claims for breach of contract, breach of fiduciary duty, promissory fraud, constructive fraud, fraudulent concealment, and conversion.
Plaintiffs are three individuals who invested funds with Defendants The Church for the Healthy Self a/k/a CHS Trust (“Defendant Church”), its pastor Kent Whitney (“Whitney”), other individuals touting the alleged scheme, and various television stations.Continue Reading New Complaint – Bui v. Nguyen, et al.
New Complaint – SEC v. Woods, et al.
Securities and Exchange Commission v. Woods, Livingston Group Asset Management Company d/b/a Southport Capital, and Horizon Private Equity, III, LLC was filed in the United States District Court for the Northern District of Georgia on August 20, 2021. The SEC alleges that Defendants defrauded investors, many of whom were elderly, with illusory promises of guaranteed returns for their investment in the Defendants’ affiliated fund.
Continue Reading New Complaint – SEC v. Woods, et al.
New Complaint – Whitmore v. Horwitz
Whitmore v. Horwitz was filed in the Central District of California on April 20, 2021, seeking class certification and unspecified civil damages. The complaint alleges fraud by omission, aiding and abetting fraud, breach of fiduciary duty, and aiding and abetting breach of fiduciary duty.
Plaintiffs are a group of investors seeking to represent a class of those who invested in Horwitz’s company, 1inMM Capital, LLC (“1inMM”). The defendants are Zachary Horwitz, 1inMM, and City National Bank (“City National”), the bank that Horwitz and 1inMM used.Continue Reading New Complaint – Whitmore v. Horwitz