Federal prosecutors announced that a former Colorado investment advisor has been sentenced for defrauding dozens of his clients, according to Financial Advisor.
36-year-old Ian Gregory Bell of Denver was sentenced to 37 months in prison followed by three years of supervised release. He also was ordered to pay $1.23 in restitution along with a $150,000 fine.
Under a plea agreement, Bell pleaded guilty to one count of wire fraud and one count of money laundering. The U.S. Attorney’s Office for the District of Colorado states that beginning in early 2020 and continuing through at least 2022, Bell “devised, intended to devise, and participated in a scheme and artifice to defraud investors and to obtain money and property by means of materially false and fraudulent pretenses, representations, and promises.”
Bell defrauded approximately 30 investors of over $1.2 million, authorities said, and used the money on lavish vacations, jewelry, numerous expensive meals, and to pay his fiancée’s monthly credit card statements.
It was alleged that he used his status as a licensed investment advisor with experience as a managing director at an investment firm to lull clients into investing with him. He also advertised no risk investments with steady returns and provided false statements showing substantial gains when the investors’ funds were actually lost or not invested at all.
“Defrauding people who put their trust into a financial advisor is a serious crime,” said United States Attorney Peter McNeilly. “Justice has been served for those who were negatively impacted by the defendant’s dishonest actions.”
“Bell portrayed himself as a successful investment advisor and preyed on innocent victims for personal gain,” Amanda Prestegard, Special Agent in Charge, IRS-CI Denver Field Office. “Our special agents are experts in unraveling complex financial crimes such as Ponzi schemes that devastate victims emotionally and financially and erode the public’s trust in our financial system.”
The Securities and Exchange Commission filed parallel civil proceedings that are still pending in which Bell was accused of defrauding at least 29 investors, including professional athletes, and misleading them with promises of lucrative returns.
The SEC is seeking a permanent injunction, disgorgement of ill-gotten profits, civil penalties, and a ban from the securities industry.
Neither of Bell’s attorneys, Austin Glenn Miller or Harvey Abe Steinberg of Springer & Steinberg of Denver, immediately responded to requests for comment.
Hyman Cotter PC routinely represents investors harmed when financial professionals and their firms engaged in misconduct that caused their clients investment losses. Our team includes lawyers who have worked for large financial institutions, including Morgan Stanley and UBS Financial Services, and regulatory bodies such as the SEC. If you think your financial professional or firm engaged in misconduct that caused you investment losses, contact Hyman Cotter PCat 312-291-4600 or through our online contact form for a no-cost evaluation of your matter.
