Monday, March 9, 2009

Latest Ponzi Spin

Just out of the SEC, charges filed against Leila Jenkins and her firm Locke Capital "for falsely creating a billion-dollar client in order to gain credibility and attract legitimate investors." In one word: brilliant... in that nobody ever cared to check up on this. Leila made up "so-called 'confidential' client accounts, purportedly based in Switzerland, and repeatedly claimed the accounts contained more than $1 billion in assets that she managed. From at least 2003 to 2009, falsehoods concerning the confidential accounts were communicated in brochures, meetings, submissions to online databases that prospective clients used to select money managers, and in SEC filings." Amusingly, when Leila actually had some gullible folks put their money with her, "the assets under management of [her] real clients never amounted to more than a very small portion of the billion-plus dollars that Jenkins claimed to manage."

Some more from the SEC press release:
In its complaint, the SEC charged Leila Jenkins and her firm, Locke Capital Management Inc., with making up the supposedly massive client and then repeatedly lying about its existence to land real clients. The SEC alleges that Jenkins lied to the SEC staff about the existence of the invented client and furnished the SEC staff with bogus documents in 2008, including fake account statements that she created.

"Today's enforcement action demonstrates that investment advisers who lure clients with false claims will be held accountable for their actions," said George Curtis, Deputy Director of the SEC's Division of Enforcement. "In this case, the conduct was particularly egregious because Jenkins lied to the SEC staff to try to escape detection."
Leila, who has houses in Rhode Island and Palm Beach (her Rhode Island house per google seems quite nice, right next to the marina. Additionally, the first charged female ponzier has stupidly listed her phone numbers on Google. We wont list them here but Locke investors should feel free to google these for themselves) will soon be disgorged of all her property and likely join Madoff in his Lexington Avenue minimum security penthouse which should be made into a live museum of all ponziers (there are definitely enough rooms), where price of admission could possible be as high as $50, with proceeds used to recoup investor losses. Sphere: Related Content
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Anonymous said...

at this point it wouldnt surprise me if every hedge fund was completely a scam.

Anonymous said...

these people never learn, do they?

How many more????

Mark said...

So much for the theory if women ran Wall St none of this corruption would abound.

Here I am doing it old school. Need to start a Ponzi scheme to start attracting assets.

Anonymous said...

"rich Miss Jenkins"