Charlotte, N.C. — The U.S. Securities and Exchange Commission on Thursday charged a North Carolina business consultant with violating anti-fraud provisions by operating a $7 million Ponzi scheme, according to a news release.
The federal government alleges that at least 75 North Carolina residents were defrauded by Wynn Charlebois, from Charlotte.
The money gained by defrauding investors was used to pay his family’s debts, mortgage payments, vacations and private school for his children, the SEC alleges in the complaint.
Charlebois’ “lavish lifestyle [was] almost entirely dependent on obtaining new investor funds in order to stay afloat,” according to the complaint.
He had marketed himself as a “self-made” investor and consultant since the early 2000s, the SEC said. He used his social capital and his network of co-workers from an investment bank where he previously worked to gain clients.
Charlebois had been defrauding investors as early as 2005, the SEC alleges. He was able to gain trust from people and convince investors to enter into loan agreements where the funds were used to supposedly going to be used to purchase shares in private companies, among other things.
The SEC said he also lied to investors, told them he worked for companies he didn’t, and offered his services as a consultant.
In recent years, Charlebois “offered investors the opportunity to…
