Court-appointed receiver recovers $312 million

Law Center Posted on

Hundreds of millions of dollars have been recovered so far in a massive North Carolina-based Ponzi scheme that authorities say attracted more than 1 million investors.

The case involves Rex Venture Group, which operated several online projects. The Securities and Exchange Commission froze the company's assets in August.

Court-appointed receiver Kenneth Bell has filed a document in federal court in Charlotte detailing his expenses. As of Dec. 31, Bell says he has recovered $312 million and has incurred $1.6 million in fees and services for the investigation.

The SEC says the company, operated by Paul Burks of Lexington, ran a $600 million Ponzi scam, where money from new investors is used to pay out old ones.

Burks is paying a $4 million penalty and cooperating with the SEC.

Legal News Media

Legal News Organization press is the top headline legal news provider for lawyers and legalprofessionals. Read law articles and breaking news from law firm's across the United States to get the latest updates. The content contained on the web site has been prepared by Legal News Media as a service to the internet
community and is not intended to constitute legal advice or a substitute for consultation with a licensed legal professional in a particular case or circumstance.

 

www.legal-news.org

 

American Bar Association – Start and Run a Law Firm

NewYorkStateBar.com – Starting a Law Firm

Lawyer Web Direct

CPA Website Designs