Bay Area Lawsuit Filed in Alleged GLR Growth Fund Ponzi Scheme
In a recent article from the Santa Cruz Sentinel, there was an update related to the alleged GLR Growth Fund Ponzi scheme that took over $5.1 million from investors local to the Bay Area in California. The SEC had previously taken action against John Geringer, Christopher Luck, and Keith Rode for involvement with the alleged Ponzi scheme, and all three men pleaded innocent to the federal charges against them, which included securities fraud, mail fraud, wire fraud, and money laundering. They are scheduled to return to court in the criminal case on May 15.
According to allegations from the SEC and the recently filed lawsuit, Geringer, Luck, and Rode were principals of GLR Capital Management, LLC, and all three men played a part in luring investors into the GLR Growth Fund, which they managed. They are accused of lying to investors about the actual profits and trading activity of the fund and concealing the trading losses that resulted from Geringer’s actual trading in two risky, start-up companies. Rode and Luck were reported to be on the board at the two start-up companies involved.
Some harmed investors also say that they made the decision to invest in the GLR Growth Fund only after speaking with Santa Cruz County Bank’s Vice President Chuck Maffia. According to the article, the lawsuit reportedly names Santa Cruz County Bank as a defendant and claims that the bank knew about the scam. In response, the President of Santa Cruz County Bank stated that, while there is sympathy for the victims, “Santa Cruz County Bank and our employees are in no way at fault or responsible for any wrongdoing or loss in this matter.”
The Ponzi scheme lawyers with Meyer Wilson represent harmed investors in California and across the nation in mediation, arbitration, and litigation against the financial professionals and companies who have harmed them. If you need help making sense of your investment fraud losses, please reach out to us for help.