Securities lawyers at the Securities and Exchange Commission have filed a complaint against alleging securities fraud against Geoffrey H. Lunn, Darlene A. Bishop and Vincent G. Curry in Colorado federal court. The complaint alleges that Lunn, through a fictitious business called Dresdner Financial raised more than $5.77 million from at least 70 investors from throughout the United States and several foreign countries between February 2010 and February 2011. The complaint further alleges that
The Defendants marketed and sold securities under the guise of Dresdner’s . Magnum Leveraged Financing Program (“Magnum Program”). The Defendants told investors that the Magnum Program offered guaranteed profits through a process that involved leasing and monetizing bank instruments. Although the timing and amount of the promised payouts varied, many of the contracts that the Defendants entered into with the investors stated that an investment of $44,000 would yield a return of $2 million after 10-12 banking days.
Lunn did not use any of the investors’ money as promised. Instead, Lunn used the money for non-investment purposes, including withdrawing more than $1 million in cash and Western Union transfers, giving $848,500 to three Las Vegas call girls, paying $1.3 million to individuals who helped market the scheme (including over $650,000 to Bishop and Curry), giving $1 million in a Ponzi-like payment to a favored investor, and using the remaining funds to pay for Lunn’s personal and business expenses.
SEC v. Lunn, Case No. 12-cv-02767 (District of Colorado)