There is of course the “law of death/kilometers”

The SEC alleges that Malcolm Segal fraudulently sold so called certificates of deposits (CDs) to his brokerage customers by falsely claiming that he could get them higher interest rates of return on FDIC insured CDs than otherwise available to the general public. In some instances, Segal purchased CDs on behalf of investors but secretly redeemed them early and took the proceeds. Other times, Segal did not purchase CDs at all despite telling customers he had.

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The SEC alleges that Mack and Lopez made various false and misleading statements when offering or selling the investments, including touting double digit past performance and future returns. They also represented that investor money would be used to trade securities, that Mack’s entities had unique access to the NYSE trading floor, and that Mack was a “funding partner” with a major Wall Street investment bank. However, the SEC’s complaint alleges that the performance claims were inflated and a large amount of investor money was used for purposes other than trading.

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