A former stockbroker in Aurora has been charged with defrauding investors in a $400,000 investment scheme, said Securities Commissioner Fred Joseph.
The commissioner alleges that Ricky Meyer lured his investment advisory clients into investing in his companies, Journey Financial Partners and JFP Group Benefits, with promises that their investment funds would be used to purchase annuities, invest in “fix-and-flip” properties near Cheesman Park, purchase energy stocks and invest in other various stocks.
In one instance, it is alleged that Meyer convinced his clients to take out a mortgage on their home to make an investment with him. With these promises, Meyer obtained in excess $400,000 from 11 of his clients. The complaint alleges that rather than invest the funds as represented, the funds were used to pay off previous investors in a Ponzi-like manner, used to pay negative balances in Meyer’s bank accounts, withdrawn as cash by Meyer and used for Meyer’s personal expenditures.
Meyer is charged with both securities fraud and investment advisory fraud.
At the time of these investments, Meyer was a licensed sales representative and investment adviser representative at an Iowa-based broker-dealer, but separately operated the now inactive Journey Financial.