Arizona-Based Stephen Hatch Pled Guilty to $70 Million Ponzi Scheme
Posted on Monday, September 18th, 2017 at 9:58 am
Erez Law is currently investigating Arizona-based Stephen Hatch (CRD# 239625) who recently pled guilty to a $70 million real-estate Ponzi scheme that preyed on 110 investors. Hatch has a limited CRD report on the FINRA website that does not list any brokerage affiliates or customer complaints.
As the ringleaders of the scam, Hatch promised investors, including many family and friends, double-digit returns on land deals from Chandler to Sierra Vista, Arizona. According to an article posted on AZCentral.com, “Hatch bought vacant land from Arizona real-estate speculator Conley Wolfswinkel between 2005 and 2011. Hatch then solicited investments in the properties through partnerships named after biblical verses and emails containing biblical quotes.” Described as an affinity scam, these fraudulent practices preyed on members of an identifiable group. It is alleged that Hatch preyed on Christian victims by making religious and biblical references to gain their trust.
It is alleged that Hatch commingled funds in different accounts and used new investor money to repay other investors. According to the court documents, investors’ money was spent on extravagant salaries for Hatch’s children and friends, as well as an investment in a restaurant for his son, luxury items and personal real estate.
Hatch pled guilty and was sentenced to five years in prison and agreed to pay $1 million to investors.
Erez Law represents investors in the United States for claims against Arizona-based Stephen Hatch who recently pled guilty to a $70 million real-estate Ponzi scheme that preyed on 110 investors. If you have experienced investment losses, please call us at 888-840-1571 or complete our contact form for a free consultation. Erez Law is a nationally recognized law firm representing individuals, trusts, corporations and institutions in claims against brokerage firms, banks and insurance companies on a contingency fee basis.