‘Massive’ Ponzi scheme, Jordan Belfort sues and bettor makes bad gamble

‘Wolf of Wall Street’ not done yet

The 2013 Martin Scorsese movie, “The Wolf of Wall Street,” told the story of stockbroker Jordan Belfort, who went to prison for securities fraud after his stock manipulation scheme. On Jan. 23, Belfort brought allegations of fraud against the production company that made the movie, according to ‘The Wolf of Wall Street’ told the story of his fraud. Now he’s suing for fraud, by Ryan Faughnder, the Los Angeles Times.

According to the article, Belfort is suing Red Granite Pictures, which bankrolled the movie, saying he’s been damaged by the Malaysian financial scandal that engulfed the company in 2017. (See: Lone brave journalist exposes 1MDB corruption, by Sarah Hofmann, CFE, Fraud Magazine, May/June 2018.) Belfort’s lawyers claim his book and story rights acquired by Red Granite have been tainted by allegations that the movie was financed by money pilfered from 1MDB.

Blinded by the light

A California couple has been charged with orchestrating a “massive” Ponzi scheme that collected nearly $1 billion from investors in their solar company, according to an article in CFO.

Jeff and Paulette Carpoff promised investors who purchased solar generators made by DC Solar that they’d profit from tax credits and lease payments from end users of the generators. But according to the U.S. Securities and Exchange Commission, most of the generators didn’t exist, and most of the company’s revenue came from investor funds.

According to the CFO article, the Carpoffs allegedly raised approximately $901 million from 17 investors between 2011 and 2018. They pleaded guilty to related criminal charges on Jan. 24, and prosecutors said they’ve already forfeited more than $120 million in assets, including a 1978 Pontiac Firebird once owned by the actor Burt Reynolds.

See Solar Firm Owners Charged With ‘Massive’ Fraud, by Matthew Heller, CFO, Jan. 27.

Sports bettor makes bad gamble

Rob Gorodetsky, 27, a high-stakes sports gambler, has been charged with defrauding an investor of almost $10 million.

According to an article in USA Today, Gorodetsky, whose alleged ties to pro athletes increased his visibility, faces up to 20 years in prison for wire fraud. In 2017, he allegedly filed a false income tax return claiming his income was $10,520 even though his total income exceeded that amount substantially, according to court documents.

Read more at High-profile sports gambler Rob Gorodetsky charged with fraud, faces up to 20 years in prison, by Josh Peter, Jan. 22, USA Today, Jan. 22.