Father-Son Duo Choreographed $200M Ponzi Scheme: SEC

Law360, New York (December 15, 2011, 5:28 PM EST) -- The U.S. Securities and Exchange Commission sued a father-son real estate investment duo Thursday in Utah for allegedly orchestrating a $200 million Ponzi scheme.

Wendell Jacobson and his son Allen, operating Management Solutions Inc. out of Fountain Green, Utah, are accused of raising money in an ongoing scheme from about 225 investors who believe their money is being used to flip apartment complexes.

In fact, much of the money is being pooled into common accounts used to pay back investors when the apartments fail to make...
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