Miss-Delectable
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Hawaii businessman accused of running Ponzi scheme targeting deaf - Pacific Business News (Honolulu):
A Hawaii businessman and his company have been accused of running an illegal Ponzi scheme targeting the deaf community.
Billion Coupons Inc. and CEO Marvin Cooper raised more than $4.4 million from at least 125 investors between September 2007 to January 2009, according to a lawsuit from the Securities and Exchange Commission. Many of the investors, from the U.S. and Japan, are members of the deaf community.
Cooper, 32, and Billion Coupons promised investors returns of up to 25 percent on their investments, according to the lawsuit.
Cooper also raised money through a nationwide network of fundraising entities, owned and operated by Billion Coupon investors. The fundraising entities solicited investors through personal contacts, seminars and Web sites.
The SEC alleged that Cooper used $1.4 million of investor funds for personal expenses.
Cooper used about $800,000 of investor funding for trading in foreign exchange markets, which was unprofitable. Cooper lost approximately $758,000 in the trading, according to the SEC.
Cooper and the company operated a Ponzi scheme by paying earlier investors with money for later investors.
The SEC said investors had said they planned to use their investments to gain secure finances, to establish a $10 million deaf community center and to contribute to other Deaf organizations.
Hawaii Commissioner of Securities Tung Chan issued a preliminary order to cease and desist and notice of right to hearing against Marvin Ray Cooper and Billion Coupons Inc. on Wednesday.
Cooper has also been accused by the Commodity Futures Trading Commission of making unauthorized offers and sales of securities.
A Hawaii businessman and his company have been accused of running an illegal Ponzi scheme targeting the deaf community.
Billion Coupons Inc. and CEO Marvin Cooper raised more than $4.4 million from at least 125 investors between September 2007 to January 2009, according to a lawsuit from the Securities and Exchange Commission. Many of the investors, from the U.S. and Japan, are members of the deaf community.
Cooper, 32, and Billion Coupons promised investors returns of up to 25 percent on their investments, according to the lawsuit.
Cooper also raised money through a nationwide network of fundraising entities, owned and operated by Billion Coupon investors. The fundraising entities solicited investors through personal contacts, seminars and Web sites.
The SEC alleged that Cooper used $1.4 million of investor funds for personal expenses.
Cooper used about $800,000 of investor funding for trading in foreign exchange markets, which was unprofitable. Cooper lost approximately $758,000 in the trading, according to the SEC.
Cooper and the company operated a Ponzi scheme by paying earlier investors with money for later investors.
The SEC said investors had said they planned to use their investments to gain secure finances, to establish a $10 million deaf community center and to contribute to other Deaf organizations.
Hawaii Commissioner of Securities Tung Chan issued a preliminary order to cease and desist and notice of right to hearing against Marvin Ray Cooper and Billion Coupons Inc. on Wednesday.
Cooper has also been accused by the Commodity Futures Trading Commission of making unauthorized offers and sales of securities.