DOJ, SEC charge men in $200 million water vending Ponzi scheme

In New York, two men were accused of federal criminal charges in connection with a water automatic ponzi scheme allegedly defrauding investors more than $ 200 million. Ministry of Justice He said Thursday.

Both men Securities and Stock Exchange Commission It is linked to the same plan for violating the provisions of the Federal Securities Laws in violation of the provisions of Antifraud.

Washington, 49 -year -old Ryan Wear from Everett, said, “In most cases it is accused of collecting more than 200 million dollars from investors by selling non -existent water automats and paying a return promised through the new investor’s money.

Wear, the former owner and operator of a company called Water Station Management, is accused of securities and wire fraud. The company was forced to go bankrupt last August.

The indictment against him at the US Regional Court in Manhattan says that most of the people wandered in the plan are retail investors and military veterans.

Doj, Carmel, 41 -year -old former fund portfolio manager from Indiana, Jordan Chirico, is accused of buying more than $ 100 million bonds given by the water station and “the personal financial share in the company and ultimately wear wear,” he said.

Chirico, an investment fund 3 | 5 | 2 Capital ABS Master Fund is accused of a plan to defraud the LP
it was a part Jeffeses Leucadia asset management of the financial group.

Chirico, a fund manager, is accused of investment consultant fraud in a separate indictment in the Federal Court of Manhattan.

Both men are sentenced to 20 years of imprisonment if they are convicted.

Manhattan US lawyer Jay Clayton said in a statement, “Ryan Wear, including military veterans, including a deception that victims of retail investors, a hundreds of millions of dollars of a hundreds of millions of dollars with the wrong promises of a water automat business.” He said.

“Jordan Chirico, by putting his own financial interests before his professional duties, investing the money in the water station of customers – by helping him and damaging his investors – even after knowing that there was a fraud. A fraud does not excuse another fraud. The office, with the help of our financial frauds and the main loyalty, this office, this office, financial frauds, this office, will continue as aggrastial. “

“The scale of this fraud, which resulted in a loss of at least 200 million dollars, is surprising,” the Special Agent of FBI, Washington, Washington, W. Mike Herrington, ” He said.

“And Harrington,” And these two men from retail investors, even US military veterans, even the alleged deception and surprise allegedly participated in siphon funds. ” He said.