Monday, March 1, 2021

Two convicted in cryptocurrency and penny stock investment scheme


BROWN COUNTY, Wis. (WBAY) – Two folks have been convicted in Brown County for a scheme during which they promised victims giant positive factors by way of investments of cryptocurrency and penny shares, however as a substitute used the funds on private bills.

Malorie F. Berceau was sentenced to three-and-a-half years in state jail on three felony counts of theft. She was ordered to pay $397,304 in restitution to victims.

Berceau’s associate, Travis Ebert, was sentenced to 5 years of probation for 2 counts of felony theft. Ebert was additionally ordered to pay restitution.

The convictions come after an investigation by the Wisconsin Division of Monetary Establishments.

Berceau and Ebert ran the corporate MFB Investments, LLC. DFI says they supplied to commerce in overseas change forex, cryptocurrency and penny shares to “generate giant positive factors in buyers’ accounts.” Nevertheless, they had been utilizing investor funds for private bills and to pay again earlier buyers within the scheme.

“Berceau additionally represented to a number of buyers that she was a registered monetary skilled, when the truth is she was not, and generated falsified account statements to make her buyers imagine the operation was reliable,” reads an announcement from DFI.

The investigation wrapped in 2017 and costs had been filed in Brown County in 2018.

Berceau and Ebert pleaded no contest to felony costs in 2019. They had been convicted and sentenced.

“DFI is grateful to the Brown County District Legal professional’s workplace for his or her diligent prosecution of this matter,” mentioned DFI Secretary Kathy Blumenfeld. “This case illustrates the significance of at all times checking whether or not your monetary skilled is correctly registered to provide funding recommendation. If only one investor had checked with DFI’s Division of Securities, they might have identified instantly that Berceau and Ebert weren’t registered as monetary professionals or affiliated with any broker-dealer or funding adviser. By no means assume somebody is registered – you’ll be able to defend your total retirement portfolio with a easy telephone name. Traders can safeguard themselves and others by taking time to analysis each the funding product and the individual promoting it.”

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