SEC halts alleged $23 million Ponzi scheme
The SEC alleged that Creative Capital and its principal, George Theodule, launched a scheme as early as November 2007 urging investors to form investment clubs to funnel funds to Theodule and Creative Capital.
The SEC alleged Theodule has lost at least $18 million trading stocks and options over the last year and that Creative Capital repaid early investors with money from later investors. Theodule combined investor funds with his personal funds and misappropriated at least $3.8 million for himself and his family, the SEC alleged.
(Reporting by Rachelle Younglai; editing by John Wallace)