2 executive, on Friday pleaded guilty to conspiracy to commit mail and wire fraud and conspiracy to commit money laundering. Aequitas also had tentacles spread throughout the RIA world. As part of his plea agreement, Gillis has also agreed to pay restitution as determined by the government and ordered by the court. In addition, it said Gillis agreed to be permanently suspended from appearing and practicing before the SEC as an accountant and cannot work as an auditor for pubic companies. Main Office: In April, Brian Oliver, Aequitas. Rice acknowledged in court filings that he's a suspect in the case. They agreed to plead guilty and cooperate with the government. PORTLAND, Ore.A former senior executive and chief financial officer of Aequitas Management, LLC, and several other entities formerly owned by Aequitas, pleaded guilty today to submitting a false statement to an Aequitas creditor to obtain a $4.2 million loan for the now-defunct company. ORDER granting the Government's oral motion to unseal the case. 2023 Advance Local Media LLC. Nelson Scott Gillis, 69, of Lake Oswego, Oregon, pleaded guilty to one count of making a false statement to a bank. Gillis was the second Aequitas chief financial officer. An official website of the United States government. Reset here, 1999 - 2023 citywire.com. Brian Oliver is an Executive Vice President & President, Aequitas Financial Services Network at Aequitas Capital Management based in Lake Oswego, O regon. Ledger left the company in 2005 in a highly controversial and public way. Other funds went to pay their salaries. Arraignment held for Defendant Brian A. Oliver on Counts 1 and 2 of the Information. Attorney Billy J. Williams announced today that Brian A. Oliver,a former owner and executive vicepresident of Aequitas Management, LLC and several other Aequitas . ) or https:// means youve safely connected to the .gov website. 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. Aequitas Management, the Oregon-based RIA accused in 2016 of running a massive Ponzi-like scheme, and its top executives have finally settled with the Securities and Exchange Commission. Defendant advised of rights. Wealth Management as an industry doesnt understand direct real estate and real estate certainly doesnt understand wealth management, says Realized founder David Wieland. SEC charges advisor over Aequitas conflicts of interest. The Aequitas entities, which are in receivership, will have to pay $540 million in disgorgement and interest as part of the final judgment. They also have people who have helped raise money and sell businesses so they can help with that too. 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. The company had three policies each for $5 million of coverage. But this one was worse. | Store They also have people who have helped raise money and sell businesses so they can help with that too. 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. He is scheduled to be. A federal grand jury in the District of Oregon returned an indictment today charging four founders of Forsage, a purportedly decentralized finance (DeFi) cryptocurrency investment platform, for their roles in On February 6, 2023, a Russian cryptocurrency money launderer previously extradited from the Netherlands to face charges in the District of Oregon pleaded guilty in federal court. brian oliver, aequitas brian oliver, aequitas Home Realizacje i porady Bez kategorii brian oliver, aequitas On March 16, 2016, pursuant to the Stipulated Interim Order Appointing Receiver, the Receiver was appointed as receiver . But prosecutors allege the Aequitas executives lied about the firms financial performance. Also charged are Nelson Scott Gillis, 67, of Lake Oswego, Oregon; Brian K. Rice, 54, of Portland; and Andrew N. MacRitchie, 56, formerly of Palm Harbor, Florida. Theyve recovered much of that money in a series of civil lawsuits against the professional firms that worked for Aequitas. As Aequitas grew, its profile in the community also increased. | Editor A lock ( Main Office: They remain active in their local church as well as volunteer with several other local non-profits, and in their leisure time enjoy hiking and camping in their travel trailer when not otherwise spending time with their two adult children. Former CFO N. Scott Gillis was required to pay a $300,000 civil penalty. (chso). | Articles Email USAO-OR. YouTubes privacy policy is available here and YouTubes terms of service is available here. Lock Counsel Present for the Government: Scott E. Bradford and Ryan W. Bounds. An indictment is only an accusation of a crime, and defendants are presumed innocent unless and until proven guilty. Portland, Oregon 97204 The complaint also alleges that Aequitas Capital Management Inc. and Aequitas Investment Management LLC violated Sections 206(1), 206(2), and 206(4) of the Investment Advisers Act of 1940 and Rule 206(4)-8 thereunder, and that Jesenik, Oliver, and Gillis aided and abetted the violations of Aequitas and the affiliated entities. 13. (Court Reporter Ryan White) (kms) (Entered: 04/19/2019) Get started today before this once in a lifetime opportunity expires. With love for the 60/40 portfolio fading, 50/30/20 looks to be the cool new kid on the block. The company's general counsel just quit. There was the company that bought bad debt from hospitals for pennies on the dollar and then tried to collect on the debt. Scott Bradford is the lead prosecutor on the case. Timothy Laniers firm in Neptune Beach, Florida, focuses on serving doctors and health care executives. There was the motorcycle leasing company. PORTLAND, Ore.U.S. They both opted not to talk. This case is being investigated by the FBI, IRS Criminal Investigation, and the U.S. Department of Labor Employee Benefits Security Administration. MacRitchie, the former utility executive, was the picture of respectability. Main Office: Brian has over 30 years experience in providing corporate finance and consulting solutions to small and medium sized businesses. Rueben Iniguez, a lawyer in the federal defenders office in Portland, is representing Jesenik. He will be sentenced on August 5, 2019before U.S. District Court Judge Michael W. Mosman. View limitations & usage restriction, Breaking news, analysis and cutting edge commentary from our award-winning team and leading industry voices, The latest news and other relevant content from selected Citywire partners. It began to default on the interest payments owed its legion of mom and pop investors. Community Rules apply to all content you upload or otherwise submit to this site. 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. Another was a utility executive who helped change Portlands business landscape. The company opened slick new offices in New York City. As part of their plea agreements, they have both agreed to pay restitution in full to their victims as determined and ordered by the court. If you need help with finances, they've got that covered. Add Andrew MacRitchie and Brian Rice, second and third from right, to the list of former Aequitas executives now facing substantial legal defense costs. 04/19/2019 14 Plea Petition and Order Entering Plea as to Defendant Brian A. Oliver. Prosecutors claim the Aequitas executives misled company investors about how their money was being used. Much of the cash went to make the payments owed to other investors. PORTLAND, Ore.U.S. Jesenik also must pay a civil penalty of $625,000. Greenspan uncovered a remarkable email exchange between Aequitas co-founder Brian Oliver and Andrew MacRitchie, the firm's one-time chief compliance officer, which seems to indicate they were. Longtime Aequitas No. They are Brian Rice, who formerly headed Key Banks operations in much of Oregon, Andrew MacRitchie, The Scotland native who came to Portland when when Scottish Power purchased PacifiCorp, and N. Scott Gillis, the former chief financial officer. Cookie Settings/Do Not Sell My Personal Information. Aequitas specialized in debt. | Recent Lawyer Listings The high-interest loans were terrible for students. Email USAO-OR. 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. 2023 InvestmentNews LLC. Our team of expertsis available to help your business build value in a variety of ways including: assessments, strategic planning, corporate financing, M&A support, market research, growth marketingandmuch more! Brian Rice and Scott Gillis, two of the company's six senior partners, resigned in recent weeks. Oliver was originally scheduled to be sentenced on Aug. 5, but the sentencing date was moved to Nov.. They've got that too. The fallout continues in the Aequitas Management scandal, which has produced guilty pleas, jail sentences, big-dollar fines and, now, additional bans from the industry by the Securities and Exchange Commission (SEC). The firm was growing quickly, it did business with some of the best-known investment advisors in the country, it claimed to have more than $1 billion under management. | Advertising More Local News to Love Start today for 50% off Expires 3/6/23. Brian Oliver and Olaf Janke, Aequitas chief financial officer before Gillis, pleaded guilty to similar charges. This case is being investigated by the FBI, IRS-Criminal Investigation, and the U.S. Department of Labor Employee Benefits Security Administration. It is being prosecuted by Ryan W. Bounds, Christopher Cardani and Siddharth Dadhich, Assistant U.S. | Link Errors From June 2014 through February 2016, the former executives solicited investors by misrepresenting the companys use of investor money, the financial health and strength of Aequitas and its related companies, and the risks associated with its investments and investment strategies. Now both have been sucked into the criminal fraud investigation of the collapsed firm. Left to right they are Bob Jesenik, Scott Gillis, Craig Froude (not charged with any crime,) Brian Rice, Andrew MacRitchie and Brian Oliver. 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. Oliver and his co-conspirators also failed to disclose other critical facts about the company, including its near-constant liquidity and cash-flow crises, the use investor money to repay other investors and to defray operating expenses, and the lack of collateral to secure funds. Aequitas investors lost about $600 million after the collapse. 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. All material subject to strictly enforced copyright laws. Share Your Design Ideas, New JerseysMurphy Defends $10 Billion Rainy Day Fund as States Economy Slows, What Led to Europe's Deadliest Train Crash in a Decade, This Week in Crypto: Ukraine War, Marathon Digital, FTX, Exec VP & Pres:Financial Svcs, Aequitas Capital Mgmt Inc. (kms) (Entered: 04/19/2019), Home | Privacy Statement. Rice, former president of Key Bank of Oregon, acknowledged in recent court filings that he is a target in the case. Lock Oliver faces a maximum sentence of 30 years in prison, a $250,000 fine or twice the gross . Defendant proceeds as named. Former Aequitas Owner and Executive Vice President . 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 Both Rice and MacRitchie were high-profile Portland executives before joining Aequitas. The SEC alleges that CEO Robert J. Jesenik and executive vice president Brian A. Oliver were well aware of the firm's dire financial status but continued to solicit hundreds of millions of dollars in investments to stave off the firm's complete collapse. Defendant sworn and examined. 04/19/2019 11 Waiver of Indictment by Brian A. Oliver (schm) (Entered: 04/19/2019) Defendant waived reading of the Information. By that time, it was clear to Aequitas executives the company was in deep financial trouble., Kayser added. In a separate proceeding, the SEC barred the three from the securities industry. Attorneys for the receiver now in charge of Aequitas, have voiced alarm at the share of the insurance money spent by Jesenik. A .gov website belongs to an official government organization in the United States. Then Corinthian went bankrupt. He argues he needs the money to help defray losses suffered by Aequitas investors. This is a company that talked a woman into investing nearly her entire retirement nest-egg -- about half-a-million dollars - in October 2015, Kayser said. Please E-mail suggested additions, comments and/or corrections to Kent@MoreLaw.Com. According to court documents, Aequitas created and operated investment funds that purchased trade receivables in education, health care, transportation, and other consumer credit areas. Oliver faces a maximum sentence of 30 years in prison, a $250,000 fine or twice the gross monetary gains or losses resulting from his crimes, and three years supervised release. All rights reserved (About Us). Share sensitive information only on official, secure websites. Brian Mariash, James Lowther and their team will operate as Mariash Lowther Wealth Management in Sarasota, Florida. Plus, Jeseniks monthly legal fees approximately quadrupled after he hired new counsel in approximately March 2017. MacRitchie was ScottishPowers point man in its efforts to buy Pacificorp and served as an executive vice president there. Have a question about Government Services? There was no more hiding the fact that Aequitas was broke. 2020 update: Aequitas investors recoup some money. Oliver was also charged criminally for his conduct. Brian Rice and Scott Gillis, two of the company's six senior partners, resigned in recent weeks. Brian received a Bachelor of Science degree from Oregon State University. Learn more about reprints and licensing for this article. A native of the United Kingdom, he served as the British honorary consul in Portland for several years. That has changed as the criminal case nears the indictment stage. He pled guilty but has not yet been sentenced. 04/19/2019 10 Minutes of Proceedings: First Appearance on Information and Arraignment held before Magistrate Judge Stacie F. Beckerman as to Defendant Brian A. Oliver on 4/19/2019. If convicted on all charges, each of the defendants could face decades in prison and millions of dollars in fines and restitution, as well as five years supervised release following their prison terms. A lock ( Secure .gov websites use HTTPS PORTLAND, Ore.U.S. A locked padlock Sam Kauffman is MacRitchies attorney. The Aequitas entities, Jesenik, and Gillis consented to the entry of final judgment without admitting or denying the SECs allegations. All three are permanently barred from the securities industry. For 23 years, Brian Oliver was the classic second-in-command at Aequitas Management LLC, the earnest, low-key straight arrow to the company's colorful alpha-dog CEO Bob Jesenik. (2), Outcome: 04/19/2019 9 Order Setting Conditions of Release as to Defendant Brian A. Oliver. 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. Insight and analysis of top stories from our award winning magazine "Bloomberg Businessweek". Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world. Court finds defendant capable and competent to enter plea. Counsel Present for Defendant: Whitney Boise, Kendra Matthews. A .gov website belongs to an official government organization in the United States. Brian has been a Senior Advisor with Cathedral Consulting since 2017. In a divorce settlement filed with the court, it's. If you need help with finances, they've got that covered. In a separate administrative proceeding, Jesenik, Oliver, and Gillis were barred from association with any broker, dealer, investment adviser, municipal securities dealer, municipal advisor, transfer agent, or nationally recognized statistical ratings organization, the SEC said. Six months later, on or about June 30, 2015, Gillis signed an amended loan agreement with Wells Fargo on Aequitass behalf. Bob Jesenik, the co-founder and face of the defunct Lake Oswego investment firm Aequitas Management, was indicted Tuesday on charges he defrauded hundreds of its former clients. This special highlights the best of the fifth annual event which was held in Singapore from November 14-17. It is being prosecuted by Scott E. Bradford and Ryan W. Bounds, Assistant U.S. 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. Portland, Oregon 97204 In the shadow of a turbulent future, The Bloomberg New Economy Forum brought together world leaders for face-to-face discussions on the global threats we face. Brian and his wife of 30 years live in Aurora, Oregon where they raised their family. 0. U.S. Attorney's Office, District of Oregon, Former Aequitas CEO and Senior Executives Indicted in Fraud and Money Laundering Conspiracy, 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 CEO and Senior Executives Indicted In Fraud and Money Laundering Conspiracy. They've got that too. The final judgments prohibit Jesenik, Oliver, and Gillis from serving as officers or directors of any public company. Brian A. Oliver, age 51, resides in Aurora, Oregon. Brian Oliver and Olaf Janke, former senior Aequitas executives, have in recent months cut plea deals with federal prosecutors. As part of the plea agreement, Oliver has agreed to pay restitution in full to each of victims as determined and ordered by the court. Three other former Aequitas executives, including a former Portland bank president and a senior utility executive, were also charged. PORTLAND, Ore.U.S. ) or https:// means youve safely connected to the .gov website. Court finds guilty pleas to be knowing and voluntary. As such, he was responsible for the development and implementation of risk management and compliance processes and procedures. (See separate order.) Recently, MacRitchie has incurred defense costs in connection with the DOJ investigation and expects to continue to incur Defense Costs in that matter, his lawyer said in a court filing. Please sign in or register to comment. According to court documents, Jesenik, Gillis, MacRitchie, Rice, and others used the Lake Oswego company to solicit investments in a variety of notes and funds, many of which were purportedly backed by trade receivables in education, health care, transportation, and other consumer credit areas. Counsel Present for Plaintiff: Scott Bradford, Ryan Bounds. But it appears they are far from done. Aequitas Management LLC and four affiliates allegedly defrauded more than 1,500 investors nationwide into believing they were making health care, education, and transportation-related investments when their money was really being used in a last-ditch effort to save the firm. Mike Esler, another attorney for Aequitas investors, credited federal prosecutors for sticking with an extremely complex case all the way to the indictment of Aequitas leader Jesenik. Lock He worked for Portland banks for much of his career before he was named regional president of Key Bank in 2006. More Local News to Love Start today for 50% off Expires 3/6/23. Luminaries from the downtown business establishment wanted to join the team. Aequitas was allegedly a fraud on top of another fraud Corinthian Colleges, the scandal ridden for-profit college that went bankrupt in 2015. Oliver also was charged criminally for his conduct and has pled guilty, but has not yet been sentenced. A former senior executive and chief financial officer of Aequitas Management, LLC, and several other entities formerly owned by Aequitas, pleaded guilty today to submitting a false statement to an Aequitas creditor to obtain a $4.2 million loan for the now-defunct company. Gillis, who was previously indicted for conspiring to submit false statements to a federally insured creditor, was the companys chief operating officer and chief financial officer. In these roles, he was responsible for directing Aequitass overall financial policies and accounting functions. PORTLAND, Ore.U.S. Mitsubishi Signs $1.9b Commuter Rail Deal With Manila: Nikkei, AllianceBernstein Wins China Approval to Set Up Mutual Fund Unit, Sorry, Fed, Most US Mortgage Rates Were Locked in During Pandemic Lows, Fed Says MoreRate Hikes Are Needed to Curb Inflation, US Service Sector Expands More Than Forecast Suggesting Hiring Success, VW Will Build a $2 Billion Electric Truck and SUV Plant in South Carolina, Saudi Wealth Fund in Talks to Buy Rocco Forte Hotels Stake, China E-Commerce Giant JD Set for $1.4 Billion Discount Spree, SoftBanks Son to Join Modi at Oyo Founders Wedding Gala, US-Sanctioned Huawei Makes a Show of Force at Mobile Conference, Hong Kong Court Convicts Activists Behind Tiananmen Vigil, Bidens About-Face on DC Crime Bill Shows Democrats on Defensive, Wealthy NYC Family Feuds Over $258 Million Madison Avenue Sale, NYC TikTok Dating Diary Chronicles Love in the Time of Inflation, Tom Sizemore, 'Saving Private Ryan' actor, dies at 61, AP Says, The Exhibit Reality TV Show PittingArtist Against ArtistIs No Masterpiece, Video Roundup: Opinions Must-See Footage of the Week, How Democrats Got Away From Third Way Politics, YellowstoneBackers Wanted to Cash OutThen the Streaming Bubble Burst, How Countries Leading on Early Years of Child Care Get It Right, Female Execs Are Exhausted, Frustrated and Heading for the Exits, Harrods Shrugs Off Recession Fears as Rich Get Richer, FT Says, Biden Gives Medal of Honor to Trailblazing Special Forces Member, Panic Over Metals for EVs Goes All the Way to Automakers C-Suites, Rivian Tells Staff EV Output May Be 24% More Than Forecast, What Do You Want to See in a Covid Memorial? YouTubes privacy policy is available here and YouTubes terms of service is available here. Official websites use .gov Bob Jesenik has not been criminally charged. But I think my clients will be thrilled. Email USAO-OR. He established and maintained the companys accounting principles, practices, procedures and initiatives, prepared financial reports and presented findings and recommendations to the executive teams, and oversaw all financial functions. Seven years ago, it was easy to believe in Aequitas. It is believed that since he was ousted from Aequitas, Jesenik has been. The firm purchased or invested in other financial firms, many of them glorified debt collectors. Attorneys for the District of Oregon. Accounting giant Deloitte, stock trader T.D. 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. They hurt a whole lot of people.. Gillis was the second Aequitas chief financial officer. According to a Complaint filed on March 10, 2016 in Oregon federal district court, the SEC has brought claims against Aequitas Management, LLC (CRD# 143780/SEC# 801-68039) and three Aequitas executives, Robert J. Jesenik, Brian A. Oliver, and N. Scott Gillis for defrauding investors and for a breach of fiduciary duties. Brian's experience encompasses a variety of positions across commercial banking, investment banking, alternative asset management, and business advisory services. 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. As previously reported by RIA Intel, Aequitas claimed to manage $1.67 billion before it collapsed, which would likely make its downfall Oregons biggest-ever investment scandal. Aequitas collapsed in 2016 owing about $600 million to investors. Youve missed the point, Anxiety over tax refunds on the rise, Bankrate.com study shows, Gensler steps up warnings to money managers. Guilty pleas entered as to Counts 1 and 2 of the Information. The court appointed receiver now in charge of whats left of Aequitas opposes Rices and MacRitchies request for access to the insurance money. 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.

Do Decentralized Exchanges Report To The Irs, Articles B