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SEC Halts $47 Million Investment Fraud at Utah-Based Pay Day Loan Businesses

SEC Halts $47 Million Investment Fraud at Utah-Based Pay Day Loan Businesses

Washington, D.C. – The Securities and Exchange Commission today announced so it has acquired a court order freezing the assets of two pay day loan organizations and their owner faced with perpetrating a $47 million providing fraudulence and Ponzi scheme.

The SEC alleges that John Scott Clark of Hyde Park, Utah, promised investors astronomical yearly comes back of 80 per cent on the assets in their companies – Impact money LLC and Impact Payment Systems LLC. Investors had been told their cash will be held in split bank records and utilized to finance loans that are payday other areas of the firms’ operations. But, Clark rather commingled investor funds into an individual pool and used them which will make unauthorized investments, pay fictitious earnings to previous investors, and fund his very own lifestyle that is lavish.