What You Have to Know
- Jared Dean Eakes gained entry to the shoppers by shopping for books of enterprise below false pretenses, prosecutors say.
- He allegedly transferred shopper cash to his private brokerage account and engaged in unauthorized choices buying and selling.
- Eakes was charged with 4 counts of fraud and has pleaded not responsible.
Federal prosecutors have charged a former Florida monetary advisor with wire fraud, alleging he scammed shoppers in at the least 4 states out of over $2.7 million after having access to them by buying different advisors’ books of companies below false pretenses.
Jared Dean Eakes, from at the least January 2019 by means of February 2020, falsely represented himself as a registered funding advisor managing thousands and thousands in shopper funds and searching for, by means of a web based market, to amass different advisors’ enterprise, in response to an indictment filed final week in U.S. District Court docket for the Center District of Florida.
An FBI particular agent arrested Eakes in Jacksonville on Could 20, and he was detained pending trial. Final week he pleaded not responsible to all 4 fraud counts.
The legal expenses come about two years after the Securities and Alternate Fee filed civil expenses towards Eakes associated to the alleged fraud scheme. The Florida Instances-Union reported this week that the costs additionally come almost a yr after the SEC advised the courtroom that Eakes, 32, was “actively concealing his whereabouts.”
After assuming management of shopper belongings from two advisors, Eakes transformed their funds to accounts he managed, prosecutors allege. The victims, together with 17 cited by initials, lived in Alabama, Arkansas, Florida, Missouri and elsewhere, in response to the indictment.
Eakes misled shoppers into pondering their funds have been being invested in response to their needs, when in actuality he transformed their cash to his personal use, prosecutors allege.
