A federal grand jury has charged Jonathan Neal Leber, a purported financial
advisor in Barren County, Kentucky, with defrauding Kentucky and Indiana
investors out of approximately $2.4 million. According to the federal
indictment, Leber used false pretenses, false representations, and false
promises to persuade clients of his financial advisement company, Intrepid
Financial Strategies, Inc., to entrust him with their money.
From Aug. 2007 to Jan. 2011, Leber allegedly promised his clients that
he would invest their funds in a variety of securities, including bonds,
tax lien certificates, stocks, annuities, and a Styrofoam recycling business.
He also allegedly told his IRA clients that he could reinvest their retirement
money in qualified “rollover” investment accounts that would
pay higher rates of return than the accounts they already had.
According to the indictment, however, Leber never intended to invest his
clients’ funds in any of the ways he represented. Instead, he allegedly
planned to steal their money and use it for his personal purposes. Prosecutors
say investors were defrauded out of more than $2 million in his investment
scheme. Additionally, though he allegedly represented himself as a financial
advisor, FINRA has no record of Leber or his company (as of 6/22/12).
Leber pled guilty to similar fraud charges in a Kentucky circuit court
in March. As part of his state plea, he admitted to lying to clients about
his background and experience. His sentencing date is scheduled for later
this month. If convicted on the new charges, he could face up to 20 years
in a federal prison, plus a $500,000 fine and three years of supervised release.