web analytics
July 26, 2014 / 28 Tammuz, 5774
Israel at War: Operation Protective Edge
 
 
At a Glance
News & Views
Sponsored Post
IDC Advocacy Room IDC Fights War on Another Front

Student Union opens ‘hasbara’ room in effort to fill public diplomacy vacuum.



Home » News & Views » US »

SEC Shuts Down Ponzi Scheme Targeting Persian-Jewish Community in Los Angeles

A Ponzi scheme targeted members of the Persian-Jewish community in Los Angeles.

A Ponzi scheme targeted members of the Persian-Jewish community in Los Angeles.
Photo Credit: Yossi Zamir/Flash90

The Securities and Exchange Commission obtained an emergency court order to halt an ongoing Ponzi scheme that targeted members of the Persian-Jewish community in Los Angeles.

The SEC alleges that for the past two years, Shervin Neman raised more than $7.5 million from investors by claiming to be a hedge fund manager. Neman told investors that his purported hedge fund – Neman Financial L.P. – invested in foreclosed residential properties that would be quickly flipped for profit as well as in Facebook shares obtained in private transactions and other highly anticipated initial public offerings including Groupon, LinkedIn, and Angie’s List.

Although Neman promised investors exorbitant returns resulting from his investing acumen and access to pre-IPO shares of well-known companies, what they actually received was simply other investors’ money in hallmark Ponzi scheme fashion.

“Neman deceived members of his own community to raise money in this fraudulent Ponzi scheme,” said Michele Wein Layne, Associate Regional Director of the SEC’s Los Angeles Office. “By exploiting investors’ trust in him, Neman was continually able to raise more money to pay back existing investors and finance an extravagant lifestyle.”

The Honorable Jacqueline H. Nguyen for the U.S. District Court for the Central District of California granted the SEC’s request for a temporary restraining order and asset freeze against Neman and the entities he controlled.

According to the SEC’s complaint, Neman raised funds from at least 11 investors in the fraudulent securities offering. Most of the investors are members of the Los Angeles Persian-Jewish community along with Neman, who lives in the Century City area of Los Angeles. More than 99 percent of the money Neman raised was used either to pay existing investors or fund his lavish lifestyle. Neman spent nearly $1.6 million of investor funds to buy jewelry and high-end cars as well as to finance his wedding and honeymoon, other vacations, and VIP tickets to sporting events.

The SEC’s investigation was conducted by Cindy Eson of the Los Angeles Regional Office. Molly White will lead the litigation. Joshua Bauder, Harden Sooper, and Yanna Stoyanoff conducted the SEC examination that prompted the investigation.

Judge Nguyen has scheduled a court hearing for April 23 at 2 p.m. on the SEC’s motion for a preliminary injunction.

About the Author:


If you don't see your comment after publishing it, refresh the page.

Our comments section is intended for meaningful responses and debates in a civilized manner. We ask that you respect the fact that we are a religious Jewish website and avoid inappropriate language at all cost.

If you promote any foreign religions, gods or messiahs, lies about Israel, anti-Semitism, or advocate violence (except against terrorists), your permission to comment may be revoked.

No Responses to “SEC Shuts Down Ponzi Scheme Targeting Persian-Jewish Community in Los Angeles”

Comments are closed.

SocialTwist Tell-a-Friend

Current Top Story
John Kerry
Entire Israeli Cabinet Rejects Kerry’s Proposed Ceasefire, Talks Continue
Latest News Stories
John Kerry

Bibi’s cabinet unanimously rejected Kerry’s ceasefire proposal, but still considering 12-hour break.

IDF Staff Sgt. Oron Shaul, hy'd, who fell in action Sunday, July 20, 2014 with six comrades when his APC was hit by an anti-tank missile fired by terrorists in Gaza. Declared dead Friday, July 25, 2014. May God avenge his blood.

Hamas exploited the fog of war: they did not kidnap Shaul Aron, he was killed in action.

A soldier called up to talk to my 5 year old son…

An Arab driver, driving into a group of Jews at a Gush Etzion bus stop.

An Arab driver swerved into a group of women and girls standing at a Gush Etzion Junction (Tzomet HaGush) bus stop.

1st Sgt. Yair Ashkenazi, Reserves, (36) HY”D, was killed this morning during operations in northern Gaza.

11:45am Rocket alerts, including Tel Aviv and Lod. The smell of a Cease fire is in the air. 11:47am 07-25-2014 Ramla, Lod 11:47am 07-25-2014 Tel Aviv – Yafo , Bat Yam, Bnei Brak / Givaatayim / Petach Tikva, Dan coastal plain, Kiryat Ono, Elad, Rosh Ha’yin, Ramla, Lod, Shoham, Kfar Chabad 11:47am 07-25-2014 Tel Aviv […]

Chabad has provided a list of all the soldiers injured so far in Operation Protective Edge, so you can add them to your prayers.

We’re waiting to hear back if there will be a cease fire this afternoon. The terms grant Hamas political legitimacy.

11:10am Massive number of rocket alerts: 11:10am 07-25-2014 Herzliya, Raanana, Emek Hefer, Kfar Saba, Sharon / Gaash 11:09am 07-25-2014 Herzliya, Raanana, Emek Hefer, Kfar Saba, Sharon / Gaash, Ashkelon 11:09am 07-25-2014 Herzliya, Raanana, Ashkelon, Emek Hefer, Kfar Saba, Sharon / Gaash, Ashkelon 11:09am 07-25-2014 Herzliya, Raanana, Ashkelon, Emek Hefer, Kfar Saba, Sharon / Gaash, Zikim […]

The IDF has released a list of senior Gazan terrorists who have been taken out…

Thousands of Israelis in Turkey have been trapped there due to the war with Gaza.

Abbas faces the acid test of his clinging to power, but he is forced himself into a lose-lose-corner.

Golani 12 Platoon commander, Shai Siman-Tov, was seriously injured yesterday,

The IDF has begun to systematically tear apart the roots of the Hamas terrorist infrastructure

Amb. Ron Dermer takes on CNN’s coverage of Hamas, and wins.

Hip Hop musicians create a song and video to express how they feel about the current Arab/Israel war.

More Articles from Jacob Edelist
F130210FFMS04

“Over-exposure of security and intelligence activities may seriously harm state security.”

Handle of a footed marble basin decorated with Seilenoi heads, the 1st century BCE.

Lionized as “the greatest builder in human history,” King Herod was also demonized for his cruelty and his shady religious origins.

“We expect continued firing of hundreds of rockets in the coming days.”

The plan is to stagger their recruitment, to allow IDF manpower officials to study the process.

Hamas called the meeting to try and avoid further casualties.

Some of the supervised, ‘bug-free,’ leafy vegetable growers are using higher levels of pesticides than allowed by Health Ministry standards.

Iranian Defense Minister Ahmad Vahidi said on Sunday that Iran has in its possession UAVs (unmanned aerial vehicles) which are far more advanced than the one which the Hezbollah recently sent into Israel.

Last Sunday, Netanyahu told Likud ministers he plans on adopting part of the report without relating to broad legal interpretations, to avoid international criticism. Still, the proposal will add legal flexibility and remove bureaucratic obstacles, making Jewish construction in Judea and Samaria considerably easier.

    Latest Poll

    Do you think the FAA ban on US flights to Israel is political?






    View Results

    Loading ... Loading ...

Printed from: http://www.jewishpress.com/news/us-news/sec-shuts-down-ponzi-scheme-targeting-persian-jewish-community-in-los-angeles/2012/04/17/

Scan this QR code to visit this page online: