According to WPCO Cincinnati, money manager and former broker for Landmark Investment Group, Glen Galemmo, entered into a plea agreement on Jan 15, 2014 admitting that he took millions from investors. Mr. Galemmo was accused of operating a massive ponzi scheme, where he deliberately led as many as 200 clients to believe he was investing their money in a hedge fund, but never invested their money in anything (read more, here).
According to the plea agreement the amount he cheated from his clients was somewhere between $7 million and $20 million. However, a group lawsuit against Mr. Galemmo is claiming damages of $300 million. Mr. Galemmo pled guilty to wire fraud and money laundering, and admitted to collecting approximately $116 million from clients.
Mr. Galemmo was ordered to turn over his assets, which included two houses, five vehicles, his office building, and approximate $1.7 million from his personal accounts. It is unclear if Mr. Galemmo will be able repay his victims. Unfortunately, for most victims involved in a ponzi-scheme the money has been spent or is otherwise long gone before the fraud is detected.
The White Law Group is investigating the liability that Mr. Galemmo’s employer may have for his scam. When a registered broker conducts business outside of the firm where they work the activity may be considered “selling away.” Although Mr. Galemmo worked as an independent money manager he was also registered with FINRA registered broker dealers. If a registered broker “sells away” from his firm, the brokerage firm may still be liable for negligent supervision of their broker and may be responsible for investment losses in a FINRA dispute resolution claim.
According to the Financial Industry Regulatory Authority (FINRA), Mr. Galemmo was a registered broker with Westmoore Trading Company from 05/2001 -03/2002, Essex & York from 03/2002 – 11/2003, Lightspeed Professional Trading from 04/2004 – 12/ 2007 and Landmark Investment Group from 12/2009 – 09/2012.
If you invested with Mr. Galemmo while he worked with a FINRA registered firm and would like to discuss your litigation options, please call the securities attorney of The White Law Group at (312)238-9650 for a free consultation.
The White Law Group, LLC is a national securities fraud, securities arbitration, investor protection/compliance law firm with offices in Chicago, Illinois and Boca Raton, Florida.
To learn more about The White Law Group, visit www.WhiteSecuritesLaw.com.Tags: Galemmo Investments lawsuit, Glen Galemmo allegations, Glen Galemmo alleged fraud, Glen Galemmo hedge fund, Glen Galemmo investigation, Glen Galemmo investment funds, Glen Galemmo IRS investigation, Glen Galemmo lawsuit, Glen Galemmo malpractice, Glen Galemmo money laundering, Glen Galemmo plea agreement, Glen Galemmo pled guilty, Glen Galemmo sentence, Glen Galemmo wire fraud, Glen Rock lawsuit, Midwest Hoops lawsuit, QC Sweep lawsuit, QFC lawsuit, Queen City Investment closed, Queen City Investment fraud, Queen City Investment losses, Queen City Investments investigation, Queen City Investments lawsuit, Sentinel Strategy lawsuit Last modified: July 17, 2015