Cattle Investment Scam Lands Kansas City Man Behind Bars
Mon 12th Aug 2019 | Posted by Glancy Law, on Blog
Fraud comes in all shapes and sizes, including down home on the range. A Kansas City man is looking at eight years in the slammer for ripping people off in a cattle investment scam.
Cameron Hager recently admitted to running a nearly $5 million investment scheme in which he duped investors into helping him buy herds of cattle that he said he would later sell at a substantial profit. The only problem was that he never bought any cattle, despite taking money from nearly 100 investors.
Instead, Hager used the cash to pay the mortgage on his home and cover credit card bills, as well as to travel and buy two cars and a pair of Winnebago travel trailers. He was forced to forfeit the vehicles and turn over $400,000 in a bank account.
“Hager used the money obtained from investors for the benefit of himself and members of his family,” according to an indictment entered in federal court in Missouri. “In some cases, money obtained from investors was used to provide ‘returns’ to other investors with the false representation that the ‘returns’ of money resulted from the sale of cattle.”
In other words, Hager was running a Ponzi scheme. He sent some of the money back to investors in an effort to get them to recruit more investors.
Hager pleaded guilty to one count of wire fraud and one count of embezzlement. He was sentenced to eight years behind bars without the opportunity for parole. Hager was also ordered to pay more than $3.2 million in restitution to the victims of the scheme.
Legal Rights for Investor Fraud Victims
The Hager case is just one example of the increasingly common risk of investor and other kinds of fraud. Ponzi schemes are particularly disastrous because investors are lured in with false claims of profits.
Fortunately, there are a number of legal tools available to investors who have been victimized by fraud. Class action lawsuits are a particularly useful option because they allow a number of investors to combine their claims, share the risk and financial burden and leverage their allegations against fraudsters.
A seasoned investment fraud attorney can help you weigh your rights and options, including whether to pursue a class action lawsuit.
Speak With an Investment Fraud Attorney Today
If you or a loved one has been victimized by a Ponzi scheme or another type of scam, an experienced investment fraud attorney can help.
At Glancy Prongay & Murray, our attorneys have been representing people in a wide range of consumer and other fraud cases for more than 25 years. We have a strong track record of success in these cases and we are pleased to be able to represent clients through a variety of fee arrangements. Call us at (310) 201-9150 or contact us online to speak with an attorney