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NEWARK
- The N.J. Bureau of Securities has filed
suit against an Evesham Township resident
who allegedly sold unregistered securities
and defrauded at least five investors out
of an estimated $200,000.
Michael
R. Scian Jr. allegedly used the money from
investors for his personal expenses, including
transferring funds to his personal investment
account; paying his American Express account;
repaying a personal loan; paying a portion
of his mortgage; paying a car loan; and
paying his cable television bill.
“The
hard-earned cash that investors entrusted
to Scian instead were used by Scian for
his own benefit,” Attorney General
Anne Milgram said.
The
state's four-count complaint, filed in State
Superior Court in Burlington County, alleges
that Scian violated the New Jersey Uniform
Securities Law by making false or misleading
statements or omitting material facts when
communicating with investors; employing
any device, scheme or artifice to defraud;
engaging in any act or practice which would
operate as a fraud or deceit; and selling
unregistered securities.
“Investors
should contact the Bureau of Securities
and check whether a security is registered
for sale in New Jersey as legally required,”
said Vincent J. Oliva, Bureau Chief. “We
will investigate every offer of unregistered
securities that we become aware of and will
act against those who attempt to defraud
investors.”
The
state is seeking restitution for investors,
disgorgement of any profits that resulted
and the levying of civil penalties.
Scian
allegedly represented to investors that
their funds would be safe because the monies
would be used in day trading and that positions
would be liquidated each day.
Supervising
Investigator Rudolph G. Bassman conducted
the investigation of this case. The state
is represented by Deputy Attorneys General
Victoria A. Manning and Stacy-Ann T. Davy.
The
Bureau of Securities can be contacted toll-free
within New Jersey at 1-877-I-INVEST (1-877-446-8378)
or from outside New Jersey at 973-504-3600.
The Bureau's web site is located at www.njsecurities.gov.
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