Read the latest news relating to investor claims and broker fraud.

Alleged Investment Scam Leads to Federal Charges

Posted on Jun 18, 2011

Federal prosecutors have charged Daren Palmer of Idaho Falls with wire fraud and money laundering in connection with an alleged investment scam.

According to information included in papers filed by the U.S. Attorney's Office, Mr. Palmer is accused of getting investors to put money into an investment group he was operating known as Trigon Group. It is alleged that he lured investors in by telling them that he had a 10-year track record of getting investors a 20 - 25% return on their investments with little or no risk. Prosecutors say that the claims of this high return were false and that Mr. Palmer was actually paying previous investors with money taken in by subsequent investors.

It is further alleged that Mr. Palmer was using the money collected from investors to fund his own extravagant lifestyle. The money laundering charge specifically alleges that Mr. Palmer used investor money to purchase a piece of jewelry for more than $100,000.

News reports indicate that Mr. Palmer has already been ordered to pay $90 million in fines and investor losses. If convicted of the wire fraud claim, Mr. Palmer could face up to 20 years in prison and a $250,000 fine. The money laundering claim could also bring a $250,000 fine and up to 10 years in prison.

About our firm:

Our Ohio-based firm represents investors in stockbroker mediation, arbitration, and litigation claims. To reach an investment fraud lawyer, please call 1.866.429.2360.