A recent article from
Forbes provided an interesting update on a Dallas
Ponzi scheme that sent William Anthony Rand and three of his sons to prison. Several
rare guitars confiscated by the U.S. Marshalls Service in the Rand case
were to be auctioned off in Beverly Hills on October 27th.
Heritage Auctions was to handle the sale of the rare instruments, which
included two extremely rare left-handed Gibson Les Paul Sunburst guitars
from 1959 and 1960. Heritage Auctions estimated before the auction that
the 1959 guitar would bring in more than $125,000. Proceeds from the guitar
auction will be used to pay back victims in the scam.
Rand, along with his sons, pleaded guilty in the case last year. According
to prosecutors, the Rands took $68 million from 330 investors in their
oil investment scheme, taking advantage of the record oil prices at the
time. The Rands had allegedly promised investors extremely
high returns on investments in Texas oil leases through their company, Aspen Exploration.
Instead of investing the victims’ money, however, prosecutors said
the Rands used it to purchase personal luxuries, including an original
Picasso, the rare guitars, real estate, jewelry, boats, vehicles, and more.
Although the two Les Paul guitars were expected to be the highlight of
the auction, two other left-handed guitars owned by the Rands—a
1965 Strat Sunburst and a 1959 Fender Stratocaster Hardtail—also
were to be sold at the auction on October 27th.
Victims of investment scams often have to wait years to recover their investment
losses, and many victims never do. If you believe you have been the victim
of an investment scam, Ponzi scheme, or stockbroker misconduct, please
contact an experienced
securities fraud lawyer today for further guidance.