Investor's Watchdog.com: Stock, finance and investment protection for investors

The Securities and Exchange Commission (SEC) charged Michael C. Regan and his firm, Regan & Company, for conducting a multi-million dollar Ponzi scheme and fraudulently raising over $15.9 million, and causing investors to lose at least $6.69 million through misappropriation and trading losses.According to the complaint, Regan offered and sold securities, called the River Stream Fund, by falsely representing to investors that he would invest their funds in the stock market.  He also told investors that because of his trading expertise and successful investment record, that they could expect returns of about 20%, with minimal risk to their principal.

Contrary to his representations, Regan did no securities trading at all for several years, used less than half of the funds entrusted to him for trading purposes, and suffered substantial losses on investments that he did make.

Instead of protecting the investors’ principal and delivering the promised returns, Regan misappropriated and used millions of dollars of investor funds to support his extravagant lifestyle and to satisfy withdrawal requests from some investors.

The defendants have agreed to settle the SEC’s charges, without admitting or denying the allegations.To deceive his investors, Regan prepared and sent fictitious account statements and tax forms showing falsely inflated balances and returns.  And here in lies the problem.  As a salesman, Regan touted himself, promising unrealistic returns.  Once the investors fell for it and trusted him with their money, he used fake statements to “prove” his claims.  The investors saw statements and tax returns with their own eyes, and believed a lie.If you want to be sure your money is safe, ask Investor’s Watchdog.  We will check your broker, and your investment, and protect your nest egg from a scam.