ANCHORAGE, Alaska (KTUU) – An Anchorage man is suspected of defrauding dozens of Alaskans out of millions of dollars in a Ponzi-like scheme, according to Alaska’s Division of Banking and Securities.
On Oct. 14, the division issued its second interim temporary cease and desist order against Tycoon Trading LLC and Garrett Elder. In a press release, the division said that Elder posed as a registered investment advisor, when in fact, he nor his company were never properly registered as required by state law.
“We definitely do not see scams like this all the time,” Division of Banking and Securities Director Robert Schmidt said. “This is not a normal course of events. This is a profoundly large scam that has dramatically, and in some cases, horrifically impacted many, many Alaskans.”
Schmidt says investors range in age from 6 to 65-years-old.
Schmidt says that 29-year-old targeted investors by meeting with people through church, social groups, and other events. In turn, they’d refer his services to their friends. So far, Schmidt says that 39 Alaskans have reported being defrauded $7.4 million. Schmidt says Elder sold what he “claimed” to be profit-sharing agreements, investment contracts, and securities through his business, Tycoon Trading LLC — located at 7120 Old Seward Highway in Anchorage.
“Essentially, he would falsify financial statements to show great returns, but these statements were just made up,” Schmidt says.
DBS’s investigation began a few weeks…
