The court also required Robert J. Jesenik, the firms former CEO, and Brian A. Oliver, its former executive vice president, to pay $940,806 and $235,928, respectively, in disgorgement and interest. Aequitas did make legitimate investments. 1000 SW Third Ave Suite 600 Former Aequitas executives and co-conspirators Brian A. Oliver and Olaf Janke previously pleaded guilty to conspiring to commit mail and wire fraud and money laundering on April 19, 2019, and June 10, 2019, respectively. There was the motorcycle leasing company. Brian has over 30 years experience in providing corporate finance and consulting solutions to small and medium sized businesses. The company's general counsel just quit. Rice, former president of Key Bank of Oregon, acknowledged in recent court filings that he is a target in the case. Lock MacRitchie was the companys executive vice president and chief compliance officer. Oliver is the 25% owner of Aequitas Management and an Executive Vice President of the Entity Defendants. Until now, Rice and MacRitchie have faced minimal legal expenses. District of Oregon Oliver faces a maximum sentence of 30 years in prison, a $250,000 fine or twice the gross . (kms) (Entered: 04/19/2019), Home brian oliver, aequitas brian oliver, aequitas Home Realizacje i porady Bez kategorii brian oliver, aequitas Former Aequitas Owner and Executive Vice President . (2), Outcome: 04/19/2019 9 Order Setting Conditions of Release as to Defendant Brian A. Oliver. Aequitas borrowed funds from other financial institutions, including Wells Fargo Bank, N.A., to purchase these trade receivables. Use of editorial content without permission is strictly prohibited|All rights reserved, Securities and Exchange Commission complaint filed in 2016, Aequitas meltdown underscores the importance of due diligence, caution, Fintech Bytes: RBC selects Vestwell, Riskalyze partners with Opto, Morgan Stanley ESG ETFs get the cold shoulder, HSA participants fail to take full advantage of tax trifecta, Investors keep dumping Blackstone REIT shares, Striving to win at compassion? I have really enjoyed working with Seth, Brian and the Cathedral team. In what could be the largest settlement of a securities lawsuit in Oregon history, settlements of at least $234.6 million have been secured for some 1,600 investors in a class action against third. Redmond adviser caught in Oregon firm's $600M financial collapse Official websites use .gov Aequitas collapsed in 2016 owing about $600 million to investors. Deloitte Is Finally Finished with That Whole Aequitas Investors Lawsuit A .gov website belongs to an official government organization in the United States. MacRitchie oversaw all Aequitas accounting, legal, and audit functions, and participated in fundraising. After graduating from Oregon State University in 1987 with a degree in Finance and minor in Economics, Brian spent the next 10 years in commercial banking with US Bank before embarking on 20 years in the Investment Banking and Alternative Asset Management industry. There are also questions about whether Jesenik and other defendants spent the money appropriately. Gillis was charged alongside former Aequitas CEO Robert J. Jesenik, 62, of West Linn, Oregon, and former Aequitas executives Brian K. Rice, 55, of Portland, and Andrew N. MacRitchie, 56, formerly of Palm Harbor, Florida. Share sensitive information only on official, secure websites. In anticipation of the institution of these proceedings, Respondent has submitted an Offer . Theyve recovered much of that money in a series of civil lawsuits against the professional firms that worked for Aequitas. A Salem, Oregon man pleaded guilty today for using Twitter to threaten violence against employees of Robinhood Markets, Inc., an online financial services company based in Menlo Park, California. Its not just the amount of insurance money that went to Jesenik that concerns the receiver. PORTLAND, Ore.U.S. All rights reserved (About Us). He declined to comment. SEC files Complaint against Aequitas Management - Fishman Haygood Now both have been sucked into the criminal fraud investigation of the collapsed firm. He committed suicide in an attempt to hide . Brian has been a Senior Advisor with Cathedral Consulting since 2017. Counsel Present for the Government: Scott E. Bradford and Ryan W. Bounds. Subsequent reports detailed Aequitas default on its debt, the resulting panic among investors, the secret conflicts, and the firms strange cultural mashup -- part Wall Street investment bank, part frat party, part Bible class. Counsel Present for Defendant: Whitney Patrick Boise and Kendra M. Matthews. An indictment is only an accusation of a crime, and defendants are presumed innocent unless and until proven guilty. [More: Aequitas meltdown underscores the importance of due diligence, caution]. On March 16, 2016, pursuant to the Stipulated Interim Order Appointing Receiver, the Receiver was appointed as receiver . Jesenik will have to pay $1.57 million in disgorgement, interest and penalties, while Oliver will pay $235,928 in disgorgement and interest, and Gillis will pay a $300,000 civil penalty. Brian Oliver and Olaf Janke, Aequitas chief financial officer before Gillis, pleaded guilty to similar charges. YouTubes privacy policy is available here and YouTubes terms of service is available here. In reporting on the Aequitas claim, a local publication, The Oregonian, wrote: "Aequitas never gained the local reputation for integrity and savvy that its executives longed for. Investors agree to $234.6M in settlements in Aequitas was - Portland Brians experience encompasses a variety of positions across commercial banking, investment banking, alternative asset management, and business advisory services. They've got that too. Secure .gov websites use HTTPS SEC v. Aequitas Management, LLC; Aequitas Holdings, LLC; Aequitas Commercial Finance, LLC; Aequitas Capital Management, Inc.; Aequitas Investment Management, LLC; Robert J. Jesenik; Brian A. Oliver; and N. Scott Gillis Case Number: 16-cv-00438 (United States District Court for the District of Oregon) Date Filed: March 10, 2016 He argues he needs the money to help defray losses suffered by Aequitas investors. Attorneys for the District of Oregon. | Recent Lawyer Listings Five of the six senior Aequitas executives have been charged with federal crimes or have pleaded guility. Ameritrade and big law firms like Sidley Austin gave the local operation a sheen of legitimacy. If you need help with finances, they've got that covered. The Lake Oswego, Ore.-based investment management firm was the subject of a Securities and Exchange Commission complaint filed in 2016 alleging that Aequitas defrauded more than 1,500 investors into believing they were putting their money into health care, education and transportation investments when their money was being used primarily in a Ponzi-like fashion. Bob Jesenik has not been criminally charged. SECURITIES AND EXCHANGE COMMISSION v. AEQUITAS MANAGEMENT, LLC - Leagle Aequitas also had tentacles spread throughout the RIA world. Marketing? The current Aequitas Capital Management lawsuit was brought on by the heirs of Matthew Ledger. Youve missed the point, Anxiety over tax refunds on the rise, Bankrate.com study shows, Gensler steps up warnings to money managers. | Articles Brian Oliver, Aequitas Capital's longtime No. Federal regulators claimed that Aequitas executives misled investors for years about the companys true financial condition. 2023 Advance Local Media LLC. A .gov website belongs to an official government organization in the United States. The company had three policies each for $5 million of coverage. ORDER Defendant released on previous conditions. In a separate proceeding, the SEC barred the three from the securities industry. The third policy is now being consumed even though the criminal case is just getting underway and the pool of potential defendants is expanding. Realized Launches Game Changing Platform for Direct Real Estate Investment, The CFP Board Calls Out Crypto in Code of Ethics and Standards, Modern Slavery Act Transparency Statement. On January 26, 2023, a California man who evaded federal authorities for more than two decades after being convicted at trial and who was wanted in District of Oregon for District of Oregon Marketing? Neither were charged when the U.S. Securities and Exchange Commission shut Aequitas down and filed a civil lawsuit in March 2016. But they made good money for Aequitas and its investors. Another was a utility executive who helped change Portlands business landscape. Aequitas Management, LLC, et al. (Release No. LR-23485; March 11, 2016) Attorney Billy J. Williams announced today that Brian A. Oliver, a former owner and executive vice president of Aequitas Management, LLC and several other Aequitas-related companies has pleaded guilty to conspiring to commit mail and wire fraud and money laundering. Former Aequitas CEO testifies in divorce trial Please E-mail suggested additions, comments and/or corrections to Kent@MoreLaw.Com. Seven years ago, it was easy to believe in Aequitas. But prosecutors allege the Aequitas executives lied about the firms financial performance. This special highlights the best of the fifth annual event which was held in Singapore from November 14-17. Collectively, the defendants also failed to disclose other critical facts about the company, including its near-constant liquidity and cash-flow crises, the use of investor money to repay other investors and to defray operating expenses, and the lack of collateral to secure funds. Secure .gov websites use HTTPS Rice included in his court filings a copy of an April 23 letter from the U.S. Attorneys office in Portland informing him that you are a subject of a federal criminal investigation concerning fraud that occurred at Aequitas.. If the sentencing materials are not received on time or the Court is not advised that none will be filed, the sentencing may be rescheduled. The Oregonian first reported the criminal charges and guilty plea. Ledger was the co-founder of Aequitas, which was then a small New York based company that dealt primarily in commercial paper. 1000 SW Third Ave Suite 600 As U.S. Judge Magistrate Paul Papak noted in an October 2017 ruling, at that point 61 percent of the defense cost payments went to Jeseniks lawyers. There was the commercial lender. They also have people who have helped raise money and sell businesses so they can help with that too. Over the last few years Cathedral has really provided sage advice as weve been growing our green building companies. Aequitas investors lost about $600 million after the collapse. The firm sold more than $300 million worth of private investment notes, mostly through financial advisers. An official website of the United States government. The SECs complaint, filed on March 10, 2016, alleged that Aequitas Management and four affiliates defrauded more than 1,500 investors nationwide when that money was being used primarily to cover operating losses and to pay earlier investors in a Ponzi-like fashion, according to an April 24 SEC press release on the final judgment. Oliver was also charged criminally for his conduct. Brian A. Oliver, a former owner and executive vice president of Aequitas Management, LLC and several other Aequitas-related companies pleaded guilty to conspiring to commit mail and wire fraud and money laundering. 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Rice served as Aequitass executive vice president and president of wealth management. Oliver was the companys primary fundraiser and shared responsibility for the operation and management of Aequitas-affiliated companies and investment products as well as for the use of investor money. Defendant waived reading of the Information. On August 11, 2020, the U.S. Attorneys Officeannounced that Gillis had been charged in a 34-count indictment with conspiracy to commit mail and wire fraud, wire fraud, bank fraud, and money laundering. Subscribe for original insights, commentary and analysis of the issues facing the financial advice community, from the InvestmentNews team. U.S. Attorney's Office, District of Oregon, Former Aequitas Senior Executive and Chief Financial Officer Pleads Guilty to Making False Statements to a Creditor, Forsage Founders Indicted in $340M DeFi Crypto Scheme, Russian Cryptocurrency Money Launderer Pleads Guilty, Former Fugitive Wanted in Oregon for Real Estate Scam Pleads Guilty, Former Aequitas Senior Executive and Chief Financial Officer Pleads Guilty To Making False Statements To a Creditor. Worse, regulators from the U.S. Consumer Financial Protection Bureau and the state Department of Justice began taking a hard look at the colleges agreement with Aequitas. ) or https:// means youve safely connected to the .gov website. Aequitas Capital Management Lawsuit - Law Meg Despite that advice, on or about January 15, 2016, Gillis signed and, with others, submitted to Wells Fargo an advance notice, requesting that Wells Fargo advance $4.2 million to Aequitas with a false certification that Aequitas was not confronting a potential event of default. PDF SEC Complaint: Aequitas Management, LLC; Aequitas Holdings, LLC Over the last few years Cathedral has really provided sage advice as weve been growing our green building companies. I have really enjoyed working with Seth, Brian and the Cathedral team.. Use of and/or registration on any portion of this site constitutes acceptance of our User Agreement, Privacy Policy and Cookie Statement, and Your Privacy Choices and Rights (each updated 1/26/2023).