U.S. Reservation Bank & Trust, Higher Investment Technologies, Inc., Global-Link Capital Markets L.L.C. et al.
On April 3, 2002, the SEC obtained temporary restraining orders, asset freezes and other relief in connection with two similar fraudulent schemes that raised $88 million since March 2000. According to the complaint, the first scheme involved U.S. Reservation Bank & Trust and Global-Link Capital Markets fraudulently raising $78 million from at least 20 investors or investor groups through sales of an investment combining a USRBT-issued certificate of deposit and a “Leveraged Profit Sharing Agreement,” an interest in a purported trading program. The SEC alleged that the USRBT and Global-link used most of investor funds to make Ponzi payments and spent over $4 million for personal use.
According to the complaint, the second scheme involved Higher Investment Technologies, Inc., a USRBT spin-off created in September 2001 by John M. Adams, USRBT’s former executive vice president. The SEC alleged that by selling interests in a purported Treasury futures trading program, embodied in “Capital Management Agreements,” Higher Investment Technologies fraudulently raised over $10.6 million from at least 6 investors or investment groups.
For more information about the SEC’s action, you can read Litigation Release No. 17459 (Apr. 5, 2002).
The Court appointed Lawrence J. Warfield, CPA, as Receiver to recover and
conserve assets for the benefit of defrauded investors. For the latest
information about the Receivership, you can visit the Receiver’s website.