The scheme falsely promised returns from a litigation fund to support lawyers
A woman in California faces criminal charges and a civil complaint from the US Securities and Exchange Commission (SEC) after allegedly defrauding investors out of more than US$10 million through a Ponzi scheme.
The scheme falsely promised returns from a litigation fund intended to support personal injury attorneys, Reuters reported.
According to an indictment unsealed in federal court, Maria Dickerson, 47, of Sacramento, also known as Dulce Pino, was indicted on 32 counts of wire fraud, securities fraud, and money laundering. Prosecutors alleged that Dickerson solicited funds from investors under the pretense that the money would be used to provide loans to attorneys, who would share a portion of their settlements and judgments.
Most Read
Instead of making loans, Dickerson allegedly used the funds for personal expenses, including real estate, luxury cars, gambling, and Ponzi-style payments to earlier investors. More than 140 investors were caught in the scheme, with reported losses of at least US$4 million.
On the same day as the criminal charges, the SEC filed a civil lawsuit against Dickerson and her companies, Creative Legal Fundings and The Ubiquity Group. The SEC’s complaint accuses Dickerson of fraud and the unregistered sale of securities. The SEC is seeking disgorgement and civil penalties. The agency alleges that Dickerson promised investors returns of between 10 percent and 17.5 percent per month.
In an email, Mark Reichel, Dickerson’s attorney claimed that she had developed an “honest” plan to create a beneficial investment fund, but the scheme grew too quickly. Reichel said that investors brought others into the scheme without Dickerson’s knowledge and made promises she could not keep. He also stated that Dickerson had begun liquidating assets to repay investors before her arrest.
Prosecutors claimed the scheme began in December 2020 and involved Dickerson raising funds for her company, Creative Legal Fundings. In 2023, after shutting down Creative Legal Fundings, she started a new venture, The Ubiquity Group, which allegedly continued the fraudulent activities.
