Wynn Charlebois’ $7 Million Ponzi Scheme Busted (New Update 2023)

Today, the Securities and Exchange Commission filed an emergency action in the United States District Court for the Western District of North Carolina charging Wynn Charlebois, a self-proclaimed business consultant, and resident of Charlotte, North Carolina, and his company WC Private LLC with operating a $7 million Ponzi scheme.

Wynn Charlebois has been charged for operating a $7 million Ponzi scheme in North Carolina.

Wynn Charlebois, a former financial advisor, was taken into custody and charged with managing a Ponzi scheme with a total loss of $7 million, according to recent reports. Over forty people fell prey to the plan, the majority of whom were elderly people who had placed their faith in Wynn Charlebois to handle their financial matters. This article will discuss the specifics of the scheme, the outcomes brought about by Wynn Charlebois’ activities, and the steps you can take to safeguard yourself from Ponzi schemes.

The Ponzi Scheme

Convincing his customers to put their money into what they thought was a high-yield investment program was at the heart of Wynn Charlebois’s scam. He guaranteed returns of up to 20% each and every year, which is a warning sign in the world of investments because returns of this magnitude are often not sustainable. After that, Charlebois utilized the money he received from new investors to pay off the money he owed to previous investors, giving the impression that the investment was successful.

When Wynn Charlebois was unable to keep providing the returns that were promised, the scheme came crashing down around him. When investors started to get suspicious, the authorities were called in to investigate. An inquiry indicated that Wynn Charlebois had used monies from investors for personal needs, such as purchasing a yacht and luxury cars, among other things.

Wynn Charlebois
Wynn Charlebois’ $7 Million Ponzi Scheme Busted

Consequences

Wynn Charlebois is being investigated for a number of offenses, including money laundering, wire fraud, and mail fraud. Should he be found guilty, he may spend decades behind bars and pay significant fines. However, even if Wynn Charlebois is found guilty and condemned to prison, the people who were taken advantage of by his scheme may never get their money back.

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Wynn Charlebois
Wynn Charlebois’ $7 Million Ponzi Scheme Busted

Guarding Your Own Interests

There are various red flags that investors should watch out for in order to protect themselves from being taken in by a Ponzi scam, which can be difficult to identify. A promise of large returns with little or no risk is one of the most significant red flags that should be raised. There’s an old adage that reads, “If it sounds too good to be true, it probably is.” A lack of openness or documentation is yet another red flag that should be taken seriously. Investment opportunities that are legitimate should educate potential investors about the risks associated with the investment and the investment itself in a clear and concise manner.

Before putting their money into anything, investors should conduct the necessary research to safeguard themselves from being taken advantage of by Ponzi scams. Perform due diligence on both the investment and the person offering it. Examine the individual as well as the investment to determine whether or not they are registered with the Securities and Exchange Commission (SEC) or any other regulatory agencies. Be skeptical of investment options that are not solicited by you or of pressure to invest fast.

According to the SEC’s complaint, since 2019, Wynn Charlebois has defrauded at least 75 investors, mostly residents of the Charlotte area, using multiple bogus investment opportunities. Most recently, through WC Private, Charlebois offered investors opportunities to share in the profits earned by participating in the exercise of fictitious options contracts. In reality, Charlebois used investor funds to pay his family’s debts and personal expenses, including his mortgage payments, vacations, and private school education for his children.

The complaint charges Wynn Charlebois and WC Private with violating the antifraud provisions of Section 17(a) of the Securities Act of 1933 and Section 10(b) of the Securities Exchange Act of 1934. The SEC seeks preliminary and permanent injunctive relief, an asset freeze, an accounting, disgorgement of ill-gotten gains plus prejudgment interest, and civil penalties.

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The SEC’s ongoing investigation is being conducted by Melissa Mitchell and Krysta Cannon and supervised by Matthew McNamara and Justin Jeffries. The SEC’s litigation will be led by Robert Schroeder.

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Provided by SEC.gov

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