District of Oregon | Former Aequitas Owner and Chief Financial Officer He will be sentenced on June 27, 2023 by U.S. District Court Judge Michael H. Simon. As Aequitas grew, its profile in the community also increased. Prosecutors claim the Aequitas executives misled company investors about how their money was being used. Guilty pleas entered as to Counts 1 and 2 of the Information. The company's general counsel just quit. Nevertheless, Papak ruled in favor of Jeseniks request for access to additional insurance funds to cover his defense. If you purchase a product or register for an account through one of the links on our site, we may receive compensation. Prosecutors' wide net: Prominent Portland executives sucked into They've got that too. John Deere boasted record profits in 2021 and finally struck a deal with striking union workers. They've got that too. Five of the six senior Aequitas executives have been charged with federal crimes or have pleaded guility. Longtime Aequitas No. A federal grand jury in the District of Oregon returned an indictment today charging four founders of Forsage, a purportedly decentralized finance (DeFi) cryptocurrency investment platform, for their roles in On February 6, 2023, a Russian cryptocurrency money launderer previously extradited from the Netherlands to face charges in the District of Oregon pleaded guilty in federal court. Not guilty pleas and denial of forfeiture allegation entered. PORTLAND, Ore.A former senior executive and chief financial officer of Aequitas Management, LLC, and several other entities formerly owned by Aequitas, pleaded guilty today to submitting a false statement to an Aequitas creditor to obtain a $4.2 million loan for the now-defunct company. On March 10, 2016, the Securities and Exchange Commission (" SEC ") filed a complaint in this Court against the Entity Defendants 1 and three individual defendants, Robert J. Jesenik, Brian A. Oliver, and N. Scott Gillis. Use of editorial content without permission is strictly prohibited|All rights reserved, Securities and Exchange Commission complaint filed in 2016, Aequitas meltdown underscores the importance of due diligence, caution, Fintech Bytes: RBC selects Vestwell, Riskalyze partners with Opto, Morgan Stanley ESG ETFs get the cold shoulder, HSA participants fail to take full advantage of tax trifecta, Investors keep dumping Blackstone REIT shares, Striving to win at compassion? Aequitas borrowed funds from other financial institutions, including Wells Fargo Bank, N.A., to purchase these trade receivables. In these roles, he was responsible for directing Aequitass overall financial policies and accounting functions. Greenspan uncovered a remarkable email exchange between Aequitas co-founder Brian Oliver and Andrew MacRitchie, the firm's one-time chief compliance officer, which seems to indicate they were. He worked for Portland banks for much of his career before he was named regional president of Key Bank in 2006. YouTubes privacy policy is available here and YouTubes terms of service is available here. Oliver faces a maximum sentence of 30 years in prison, a $250,000 fine or twice the gross . On August 11, 2020, the U.S. Attorneys Officeannounced that Gillis had been charged in a 34-count indictment with conspiracy to commit mail and wire fraud, wire fraud, bank fraud, and money laundering. They remain active in their local church as well as volunteer with several other local non-profits, and in their leisure time enjoy hiking and camping in their travel trailer when not otherwise spending time with their two adult children. Brian Rice and Scott Gillis, two of the company's six senior partners, resigned in recent weeks. Nelson Scott Gillis, 69, of Lake Oswego, Oregon, pleaded guilty to one count of making a false statement to a bank. Aequitas also had tentacles spread throughout the RIA world. Former Aequitas executives and co-conspirators Brian A. Oliver and Olaf Janke previously pleaded guilty to conspiring to commit mail and wire fraud and money laundering on April 19, 2019, and June 10, 2019, respectively. The high-interest loans were terrible for students. Share sensitive information only on official, secure websites. 04/19/2019 10 Minutes of Proceedings: First Appearance on Information and Arraignment held before Magistrate Judge Stacie F. Beckerman as to Defendant Brian A. Oliver on 4/19/2019. Aequitas finances were already spiraling down, and the worse they got, the more student debt the firm bought from Corinthian. According to court documents, Jesenik, Gillis, MacRitchie, Rice, and others used the Lake Oswego company to solicit investments in a variety of notes and funds, many of which were purportedly backed by trade receivables in education, health care, transportation, and other consumer credit areas. They agreed to plead guilty and cooperate with the government.. The Aequitas entities, Jesenik, and Gillis consented to the entry of final judgment without admitting or denying the SECs allegations. In the shadow of a turbulent future, The Bloomberg New Economy Forum brought together world leaders for face-to-face discussions on the global threats we face. The complaint also alleges that Aequitas Capital Management Inc. and Aequitas Investment Management LLC violated Sections 206(1), 206(2), and 206(4) of the Investment Advisers Act of 1940 and Rule 206(4)-8 thereunder, and that Jesenik, Oliver, and Gillis aided and abetted the violations of Aequitas and the affiliated entities. Timothy Laniers firm in Neptune Beach, Florida, focuses on serving doctors and health care executives. This story was revised on Aug. 21, 2020 to correct some details about Brian Rices professional background. Jesenik, a former resident of West Linn, Oregon, is charged in a 32-count indictment with conspiracy to commit mail and wire fraud, wire fraud, bank fraud, and money laundering. From June 2014 through February 2016, Oliver and others solicited investors by misrepresenting the companys use of investor money, the financial health and strength of Aequitas and its related companies, and the risks associated with its investments and investment strategies. It is believed that since he was ousted from Aequitas, Jesenik has been. Sentencing materials are due no later than 7/31/2019. Defendant proceeds as named. SEC charges advisor over Aequitas conflicts of interest. Brian Oliver and Olaf Janke, former senior Aequitas executives, have in recent months cut plea deals with federal prosecutors. Main Office:
Between 2011 and 2014, Aequitas purchased more than $561 million in student loan debt, almost all of which was with Corinthian. Lock Ledger left the company in 2005 in a highly controversial and public way. Previously, Brian was an Executive VP, Business Development at Alternative Asset Management. Email USAO-OR. Both Rice and MacRitchie were high-profile Portland executives before joining Aequitas. There was no more hiding the fact that Aequitas was broke. All rights reserved (About Us). Brian provides Cathedral particular expertise in leading Merger & Acquisition transactions and arranging Corporate Finance solutions for its clients, after having been involved in extensive transactions of all sizes throughout his career. By the time he left, he was also in charge of Key Banks operations in Washington and Alaska. Arraignment held for Defendant Brian A. Oliver on Counts 1 and 2 of the Information. Among his responsibilities, Rice oversaw the solicitation of investments through registered investment advisors (RIA) and managed Aequitass affiliated RIAs. He will be sentenced on August 5, 2019before U.S. District Court Judge Michael W. Mosman. Rice included in his court filings a copy of an April 23 letter from the U.S. Attorneys office in Portland informing him that you are a subject of a federal criminal investigation concerning fraud that occurred at Aequitas.. Mike Esler, another attorney for Aequitas investors, credited federal prosecutors for sticking with an extremely complex case all the way to the indictment of Aequitas leader Jesenik. Main Office:
Cookie Settings/Do Not Sell My Personal Information. Recently, MacRitchie has incurred defense costs in connection with the DOJ investigation and expects to continue to incur Defense Costs in that matter, his lawyer said in a court filing. But now it has a bigger problem: farmers are revolting against restrictions on how they repair complex equipment. As part of their plea agreements, they have both agreed to pay restitution in full to their victims as determined and ordered by the court.
Gillis was the second Aequitas chief financial officer. Attorneys in Aequitas Capital fraud case spar over Oregon regulator who A federal court in Oregon entered final judgments against Aequitas Management requiring the firms receiver to pay $453 million in disgorgement. Oliver is the 25% owner of Aequitas Management and an Executive Vice President of the Entity Defendants. The Oregon firm thought it had hit the motherlode when it got into the college debt business. 1000 SW Third Ave Suite 600
Official websites use .gov Aequitas Capital Management Lawsuit - Law Meg Official websites use .gov Brian A Oliver is Exec VP & Pres:Financial Svcs at Aequitas Capital Mgmt Inc. See Brian A Oliver's compensation, career history, education, & memberships. According to court documents, Aequitas created and operated investment funds that purchased trade receivables in education, health care, transportation, and other consumer credit areas. Three other former Aequitas executives, including a former Portland bank president and a senior utility executive, were also charged. Federal regulators claimed that Aequitas executives misled investors for years about the companys true financial condition. Marketing? Brian Oliver, Aequitas Capital's longtime No. Also charged are Nelson Scott Gillis, 67, of Lake Oswego, Oregon; Brian K. Rice, 54, of Portland; and Andrew N. MacRitchie, 56, formerly of Palm Harbor, Florida. A Salem, Oregon man pleaded guilty today for using Twitter to threaten violence against employees of Robinhood Markets, Inc., an online financial services company based in Menlo Park, California. The final judgments prohibit Jesenik, Oliver, and Gillis from serving as officers or directors of any public company. PORTLAND, Ore.U.S. Former Aequitas CEO and Senior Executives Indicted in Fraud and Money By the time Corinthian filed for bankruptcy and students went on strike refusing to pay their loans some 75% of the receivables of the Aequitas notes came from the for-profit scam, according to RIA Intels first story on Aequitas. Have a question about Government Services? They also have people who have helped raise money and sell businesses so they can help with that too. Much of the cash went to make the payments owed to other investors. On March 16, 2016, pursuant to the Stipulated Interim Order Appointing Receiver, the Receiver was appointed as receiver . District of Oregon | Former Aequitas Senior Executive and Chief Six months later, on or about June 30, 2015, Gillis signed an amended loan agreement with Wells Fargo on Aequitass behalf. Please read our Terms and Conditions, Modern Slavery Act Transparency Statement, and Privacy Policy before using the site. Secure .gov websites use HTTPS The current Aequitas Capital Management lawsuit was brought on by the heirs of Matthew Ledger. It began to default on the interest payments owed its legion of mom and pop investors. A native of the United Kingdom, he served as the British honorary consul in Portland for several years. Thom Maher is launching a firm, Maher Wealth Management, in Phoenix. Aequitas Capital No. 2 Brian Oliver pleads guilty to criminal charges District of Oregon
Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world. The company had three policies each for $5 million of coverage. Have a question about Government Services? Rice served as Aequitass executive vice president and president of wealth management. He was the British honorary consul to Portland. Attorneys for the receiver now in charge of Aequitas, have voiced alarm at the share of the insurance money spent by Jesenik. As such, he was responsible for the development and implementation of risk management and compliance processes and procedures. Rice acknowledged in court filings that he's a suspect in the case. He was even on the board of the Arlington Club. Its been a long time coming, Kayser said. Bob Jesenik has not been criminally charged. Subsequent reports detailed Aequitas default on its debt, the resulting panic among investors, the secret conflicts, and the firms strange cultural mashup -- part Wall Street investment bank, part frat party, part Bible class. 1000 SW Third Ave Suite 600
| Articles Investors had been bilked out of hundreds of millions of dollars, the SEC said. The Oregonian first reported the criminal charges and guilty plea. Aequitas specialized in debt. The court also required Robert J. Jesenik, the firm's former CEO, and Brian A. Oliver,. Aequitas investors lost about $600 million after the collapse. View limitations & usage restriction, Breaking news, analysis and cutting edge commentary from our award-winning team and leading industry voices, The latest news and other relevant content from selected Citywire partners. Some money from new investors was allegedly used to pay earlier investors The default came to attention of the U.S. Securities and Exchange Commission, which sued Aequitas in March 2016 and got the company shut down. As part of the plea agreement, Oliver has agreed to pay restitution in full to each of victims as determined and ordered by the court. Court finds guilty pleas to be knowing and voluntary. A lock ( Oliver faces a maximum sentence of 30 years in prison, a $250,000 fine or twice the gross monetary gains or losses resulting from his crimes, and three years supervised release. CEO Robert Jesenik will have to pay $1.57 million to settle fraud charges, while executive vice president Brian A. Oliver and former CFO N. Scott Gillis will each have to pay hundreds of thousands of dollars as part of a consent decree finalized in Oregon federal court on April 13. (Tape #FTR-9B) (gw) (Entered: 04/19/2019) Secure .gov websites use HTTPS If you missed the last issue of InvestmentNews, you can access it here. Main Office:
District of Oregon | Former Aequitas Owner and Executive Vice President Signed on 4/19/19 by Magistrate Judge Stacie F. Beckerman. The SEC alleges that CEO Robert J. Jesenik and executive vice president Brian A. Oliver were well aware of the firm's dire financial status but continued to solicit hundreds of millions of dollars in investments to stave off the firm's complete collapse. Deloitte Is Finally Finished with That Whole Aequitas Investors Lawsuit Counsel Present for Defendant: Whitney Patrick Boise and Kendra M. Matthews. Counsel Present for the Government: Scott E. Bradford and Ryan W. Bounds. Reset here, 1999 - 2023 citywire.com. Portland, Oregon 97204
Accounting giant Deloitte, stock trader T.D. As part of his plea agreement, Gillis has also agreed to pay restitution as determined by the government and ordered by the court. They are also prohibited from violating the SECs antifraud provisions. Youve missed the point, Anxiety over tax refunds on the rise, Bankrate.com study shows, Gensler steps up warnings to money managers. Use of and/or registration on any portion of this site constitutes acceptance of our User Agreement, Privacy Policy and Cookie Statement, and Your Privacy Choices and Rights (each updated 1/26/2023). But this one was worse. The Government does not seek detention and Defendant is released on conditions. Jesenik also must pay a civil penalty of $625,000. SEC bars Aequitas execs after $540m judgement against Oregon firm Counsel Present for Defendant: Whitney Boise, Kendra Matthews. Brian Mariash, James Lowther and their team will operate as Mariash Lowther Wealth Management in Sarasota, Florida. PDF Former Aequitas Owner and Executive Vice President Pleads Guilty - DOL PDF SEC Complaint: Aequitas Management, LLC; Aequitas Holdings, LLC | Editor An official website of the United States government. This special highlights the best of the fifth annual event which was held in Singapore from November 14-17. Theyve got a team that really loves entrepreneurship and is equipped with different skill sets. Secure .gov websites use HTTPS Other funds went to pay their salaries. His attorneys have submitted bills for at least 2.7 million, far more than any other defendant. Rice, former president of Key Bank of Oregon, acknowledged in recent court filings that he is a target in the case. As part of the final consent judgment, the defendants are prohibited from soliciting anyone to purchase or sell a security and prohibiting them from participating in the issuance, offer, or sale of any security of an entity they control, the SECs release stated. Plus, three other Aequitas defendants former second-in-command Brian Oliver and N. Scott Gillis and Olaf Janke, former Aequitas chief financial officers have pleaded guilty to fraud and. Jesenik founded the Aequitas group of companies, and, as chief executive officer, controlled the organizations structure and had ultimate decision-making authority over company activities. No criminal charges have been filed against Bob Jesenik, Aequitas co-founder and CEO. In a separate administrative proceeding, Jesenik, Oliver, and Gillis were barred from association with any broker, dealer, investment adviser, municipal securities dealer, municipal advisor, transfer agent, or nationally recognized statistical ratings organization, the SEC said. Rueben Iniguez, a lawyer in the federal defenders office in Portland, is representing Jesenik. A lock ( Our team of expertsis available to help your business build value in a variety of ways including: assessments, strategic planning, corporate financing, M&A support, market research, growth marketingandmuch more! The Oregonian/OregonLive began investigating Aequitas in 2014, when it linked the firm to accusations of predatory student loans at Corinthian. Oliver was originally scheduled to be sentenced on Aug. 5, but the sentencing date was moved to Nov.. If convicted on all charges, each of the defendants could face decades in prison and millions of dollars in fines and restitution, as well as five years supervised release following their prison terms. Signed on 4/19/2019 by Judge Michael W. Mosman. Oliver was also charged criminally for his conduct. Portland, Oregon 97204
Seven years ago, it was easy to believe in Aequitas. Investment adviser: Aequitas lied to investors | The Seattle Times This case is being investigated by the FBI, IRS Criminal Investigation, and the U.S. Department of Labor Employee Benefits Security Administration. The third policy is now being consumed even though the criminal case is just getting underway and the pool of potential defendants is expanding. Aequitas investors filed a $350 million class-action lawsuit in April 2016, less than a month after the SEC charged Aequitas Management LLC and four affiliates, as well as three executivesCEO Robert Jesenik, executive vice president Brian Oliver, and CFO and chief operating officer N. Scott Gilliswith hiding the deteriorating financial Court: United States District Court for the District of Oregon (Multnomah County), Plaintiff's Attorney: Scott E. Bradford and Ryan W. Bounds, Defendant's Attorney: Kendra M. Matthews and Whitney Patrick Boise, 18:1341 and 18:1343 CONSPIRACY TO COMMIT MAIL AND WIRE FRAUD They agreed to plead guilty and cooperate with the government. Subscribe for original insights, commentary and analysis of the issues facing the financial advice community, from the InvestmentNews team. Defendant waived reading of the Information. Bob Jesenik, the co-founder and face of the defunct Lake Oswego investment firm Aequitas Management, was indicted Tuesday on charges he defrauded hundreds of its former clients. The recent filings indicate several additional Aequitas executives, like Rice and MacRitchie, are in harms way. Section 203(f) of the Investment Advisers Act of 1940 ("Advisers Act") against Brian A. Oliver ("Oliver" or "Respondent"). Have a question about Government Services? Please E-mail suggested additions, comments and/or corrections to Kent@MoreLaw.Com. [More: Aequitas meltdown underscores the importance of due diligence, caution]. Brian has been a Senior Advisor with Cathedral Consulting since 2017. Now both have been sucked into the criminal fraud investigation of the collapsed firm. Aequitas execs deny wrongdoing, cite 'corporate optimism' - oregonlive Redmond adviser caught in Oregon firm's $600M financial collapse Brians experience encompasses a variety of positions across commercial banking, investment banking, alternative asset management, and business advisory services. Brian and his wife of 30 years live in Aurora, Oregon where they raised their family. 04/19/2019 11 Waiver of Indictment by Brian A. Oliver (schm) (Entered: 04/19/2019) If you need help with finances, they've got that covered. Plus, Jeseniks monthly legal fees approximately quadrupled after he hired new counsel in approximately March 2017. According to court documents, Oliver, 54, of Aurora, Oregon, and unnamed co-conspirators used the Lake Oswego, Oregon, based company to solicit investments in a variety of notes and funds, many of which were purportedly backed by trade receivables in education, health care, transportation, and other consumer credit areas. By early January 2016, Aequitass general counsel advised Gillis and other executives that the company would soon default on payments due to Private Note investors, causing an event of default on Aequitass loan agreement with Wells Fargo. After graduating from Oregon State University in 1987 with a degree in Finance and minor in Economics, Brian spent the next 10 years in commercial banking with US Bank before embarking on 20 years in the Investment Banking and Alternative Asset Management industry. ORDER granting the Government's oral motion to unseal the case. There was the commercial lender. Attorney Billy J. Williams announced today that Brian A. Oliver, a former owner and executive vice president of Aequitas Management, LLC and several other Aequitas-related companies has pleaded guilty to conspiring to commit mail and wire fraud and money laundering. He established and maintained the companys accounting principles, practices, procedures and initiatives, prepared financial reports and presented findings and recommendations to the executive teams, and oversaw all financial functions. Brian Rice and Andrew MacRitchie left their corporate posts for jobs at Aequitas Capital. He is scheduled to be sentenced on Aug. 5. Brian received a Bachelor of Science degree from Oregon State University.