PHILADELPHIA, Dec. 22, 2017 /PRNewswire/ -- Berger & Montague, P.C., has announced an investigation into an alleged $1.2 billion Ponzi scheme operated by Robert H. Shapiro ("Shapiro") through Woodbridge Group of Companies, LLC, Woodbridge Structured Funding, LLC, RS Protection Trust and WMF Management, LLC. According to the Securities and Exchange Commission ("SEC"), Shapiro operated Woodbridge Group of Companies as a Ponzi scheme bilking investors out of as much as $1.2 billion.
Specifically, the SEC accused Shapiro of using a complex web of fake real estate investments and unregistered Florida-based funds to defraud nearly 8,400 investors, many of whom are senior citizens. According to the SEC's complaint, Shapiro used Woodbridge Group of Companies, LLC to sell investors 12-18 month promissory notes bearing 5 to 8 percent interest and various private placement offerings in the following companies:
- RS Protection Trust (RS Trust);
- WMF Management, LLC (WMF);
- Woodbridge Group of Companies, LLC; and
- Woodbridge Structured Funding, LLC (WSF).
If you are an investor in the Woodbridge Group of Companies, LLC, Woodbridge Structured Funding, LLC, RS Protection Trust or WMF Management, LLC, please contact the investigating attorney, Michael Dell'Angelo of Berger & Montague, P.C., at 800-424-6690 or 215-875-3080, via email at firstname.lastname@example.org.
The official SEC Press Release and SEC Complaint detail Shapiro's alleged misconduct. According to the SEC Complaint, "Despite receiving over $1 billion in investor funds, Shapiro and his companies only generated approximately $13.7 million in interest income from truly unaffiliated third-party borrowers." The Complaint further states that "Without real revenue to pay the monies due to investors, Shapiro resorted to fraud, using new investor money to pay the returns owed to existing investors." Investors impacted by the alleged misconduct can contact Berger & Montague, P.C., to learn more.
Berger & Montague, P.C. is a nationally recognized, full-service plaintiffs' class action law firm specializing in securities, antitrust and other complex litigation on behalf of institutions and other investor and individual plaintiffs. Attorney advertising. Prior results do not guarantee similar outcomes.
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