U.S. SECURITIES AND EXCHANGE COMMISSION
Litigation Release No. 23844 / May 25, 2017
Securities and Exchange Commission v. Mark A. Jones, No. 1:16-cv-10524-RGS (D. Mass.)
United States v. Mark A. Jones, No. 1:16-cr-10220-MLW (D. Mass.)
Ponzi Scheme Operator Sentenced to Prison in Parallel Criminal Case
A former Boston resident charged by the Securities and Exchange Commission with fraud for operating a $10 million Ponzi scheme involving purported bridge loans to Jamaican businesses has been sentenced to 70 months imprisonment in a parallel criminal case.
Mark Anderson Jones pled guilty to the criminal charges in September 2016, which arose out of the same fraudulent conduct alleged in the SEC's complaint filed last year. According to the SEC, Jones solicited investors in several states and Washington D.C. by issuing promissory notes and personal guarantees to invest in "The Bridge Fund," an enterprise that supposedly loaned money to Jamaican businesses waiting for funding from approved commercial bank loans. Instead of investing as promised, Jones allegedly used portions of investor money to make Ponzi payments and pay personal expenses.
In March 2017, the U.S. District Court for the District of Massachusetts entered a final judgment against Jones by default. The court permanently enjoined Jones from violating Section 17(a) of the Securities Act of 1933 and Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5 and ordered him to pay $3,586,510 in disgorgement, $236,463.48 in prejudgment interest, and a $160,000 civil penalty.