Financial Advisor to Stars Pleads Guilty to Perpetrating Multiple Ponzi Schemes

Posted on May 22nd, 2015 at 11:29 AM
Financial Advisor to Stars Pleads Guilty to Perpetrating Multiple Ponzi Schemes

From the Desk of Jim Eccleston at Eccleston Law LLC:

Troy Stratos, a self-described entertainment entrepreneur and globe-trotting businessman, pleaded guilty in California to four counts of wire fraud and two counts of money laundering. The most remarkable of the schemes related to $11.3 million that he took from an East Coast financial advisor to buy pre-initial public offering Facebook stock.

Stratos told the advisor that he represented Carlos Slim, one of the world’s richest men, and that because he was buying a large block of Facebook stock for Slim, he would have excess stock that could be sold at favorable prices. The advisor then sent three wire transfers for a total of $11.25 million to buy the shares.

The attorneys of Eccleston Law LLC represent investors and advisers nationwide in securities and employment matters. Our attorneys draw on a combined experience of nearly 65 years in delivering the highest quality legal services.

Related Attorneys: James J. Eccleston

Tags: Troy Stratos, Celebrities, Carlos Slim, Fraud, Ponzi Scheme, James Eccleston, Eccleston Law

Return to Archive

TESTIMONIALS

Previous
Next

We just wanted to say thanks for your work in helping us get back some of the money we lost. We are not by any means rich, but we have saved some money and we have done so through a tight-fisted approach to most everything we do. So losing a significant chunk of money hurt…especially at a time when everyone else was growing their accounts. We really appreciate the work you did.

Allan and Adele

LATEST NEWS AND ARTICLES

March 12, 2025
GPB Capital Investors May Receive Some Compensation Under Proposed Distribution Plan

GPB Capital Holdings investors have not received returns on their investments since 2018. According to InvestmentNews, after years of litigation, a court-appointed receiver has submitted a plan to return funds to the 17,000 investors who purchased $1.8 billion in GPB limited partnerships.

March 11, 2025
Former CNBC Analyst Pleads Guilty to $2.7 Million Securities Fraud Scheme

James Arthur McDonald Jr., a former financial advisor and frequent CNBC guest analyst, has agreed to plead guilty to securities fraud, admitting to defrauding investors out of at least $2.7 million, as reported by ThinkAdvisor. The felony charge carries a maximum sentence of 20 years in federal prison.

March 10, 2025
Wells Fargo and Merrill Lynch Settle SEC Charges Over Cash Sweep Program Policies

The Securities and Exchange Commission (SEC) has announced settlements with Wells Fargo Clearing Services LLC, Wells Fargo Advisors Financial Network LLC, and Merrill Lynch, Pierce, Fenner & Smith Incorporated over allegations that they failed to implement proper policies and procedures for their cash sweep programs.