They hurt a whole lot of people.. If you need help with finances, they've got that covered. Scott Bradford is the lead prosecutor on the case. Brian Oliver President, Cathedral Finance | Senior Advisor Brian has over 30 years experience in providing corporate finance and consulting solutions to small and medium sized businesses. Please sign in or register to comment. YouTubes privacy policy is available here and YouTubes terms of service is available here. Federal regulators claimed that Aequitas executives misled investors for years about the companys true financial condition. The firm sold more than $300 million worth of private investment notes, mostly through financial advisers. Share sensitive information only on official, secure websites. Rueben Iniguez, a lawyer in the federal defenders office in Portland, is representing Jesenik. Investors had been bilked out of hundreds of millions of dollars, the SEC said. An official website of the United States government. Nevertheless, Papak ruled in favor of Jeseniks request for access to additional insurance funds to cover his defense. In anticipation of the institution of these proceedings, Respondent has submitted an Offer . Official websites use .gov 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. 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From June 2014 through February 2016, Oliver and others 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. 2023 Advance Local Media LLC. Aequitas investors lost about $600 million after the collapse. The default came to attention of the U.S. Securities and Exchange Commission, which sued Aequitas in March 2016 and got the company shut down. Arraignment held for Defendant Brian A. Oliver on Counts 1 and 2 of the Information. Bob Jesenik has not been criminally charged. This case is being investigated by the FBI, IRS Criminal Investigation, and the U.S. Department of Labor Employee Benefits Security Administration. Brian Oliver and Olaf Janke, Aequitas chief financial officer before Gillis, pleaded guilty to similar charges. 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. B. But they made good money for Aequitas and its investors. The company's general counsel just quit. Theyve recovered much of that money in a series of civil lawsuits against the professional firms that worked for Aequitas. All rights reserved (About Us). 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. 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. The company had three policies each for $5 million of coverage. The current Aequitas Capital Management lawsuit was brought on by the heirs of Matthew Ledger. Counsel Present for Defendant: Whitney Boise, Kendra Matthews. CEO Robert Jesenik will have to pay $1.57 million to settle fraud charges, while executive vice president Brian A. Oliver and former CFO N. Scott Gillis will each have to pay hundreds of thousands of dollars as part of a consent decree finalized in Oregon federal court on April 13. All Rights Reserved. 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. 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). MacRitchie was the companys executive vice president and chief compliance officer. 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. Secure .gov websites use HTTPS RIA Intel is part of Delinian. The Government does not seek detention and Defendant is released on conditions. (Tape #FTR-9B) (gw) (Entered: 04/19/2019) 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. Advisors providing advice on cryptocurrency-related assets should do so with caution, according to a new report by the CFP Board. Rice, former president of Key Bank of Oregon, acknowledged in recent court filings that he is a target in the case. 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. A native of the United Kingdom, he served as the British honorary consul in Portland for several years. Another was a utility executive who helped change Portlands business landscape. ) or https:// means youve safely connected to the .gov website. Brian Mariash, James Lowther and their team will operate as Mariash Lowther Wealth Management in Sarasota, Florida. 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. An official website of the United States government. It is being prosecuted by Scott E. Bradford and Ryan W. Bounds, Assistant U.S. Please E-mail suggested additions, comments and/or corrections to Kent@MoreLaw.Com. It is believed that since he was ousted from Aequitas, Jesenik has been. Youve missed the point, Anxiety over tax refunds on the rise, Bankrate.com study shows, Gensler steps up warnings to money managers. Aequitas also had tentacles spread throughout the RIA world. He will be sentenced on August 5, 2019before U.S. District Court Judge Michael W. Mosman. Portland, Oregon 97204 ORDER Presentence Report to be prepared by U.S. PORTLAND, Ore.U.S. 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. A lock ( Brian provides Cathedral particular expertise in leading Merger & Acquisition transactions and arranging Corporate Finance solutions for its clients, after having been involved in extensive transactions of all sizes throughout his career. 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. Between 2011 and 2014, Aequitas purchased more than $561 million in student loan debt, almost all of which was with Corinthian. A .gov website belongs to an official government organization in the United States. 2023 InvestmentNews LLC. Brian Oliver, Aequitas Capital's longtime No. The material on this site may not be reproduced, distributed, transmitted, cached or otherwise used, except with the prior written permission of Advance Local. As such, he was responsible for the development and implementation of risk management and compliance processes and procedures. 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. 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. Until now, Rice and MacRitchie have faced minimal legal expenses. Aequitas specialized in debt. Theyve got a team that really loves entrepreneurship and is equipped with different skill sets. 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. A .gov website belongs to an official government organization in the United States. Oliver was a partial owner and Executive Vice President of Aequitas Management, LLC ("Aequitas Management . Counsel Present for Plaintiff: Scott Bradford, Ryan Bounds. | Store This case is being investigated by the FBI, IRS-Criminal Investigation, and the U.S. Department of Labor Employee Benefits Security Administration. The Oregonian/OregonLive began investigating Aequitas in 2014, when it linked the firm to accusations of predatory student loans at Corinthian. 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. Jesenik also must pay a civil penalty of $625,000. 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. They are also prohibited from violating the SECs antifraud provisions. 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. They agreed to plead guilty and cooperate with the government.. The agency on Wednesday barred Aequitas partial owner and chief executive Robert Jesenik, 60, partial owner and executive vice president Brian Oliver, 55, and former chief financial officer N. Forgot your password? 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. This case is being investigated by the FBI, IRS Criminal Investigation, and the U.S. Department of Labor Employee Benefits Security Administration. 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. Aequitas finances were already spiraling down, and the worse they got, the more student debt the firm bought from Corinthian. That has changed as the criminal case nears the indictment stage. It is free to register and only takes a minute or two. 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. A federal court in Oregon entered final judgments against Aequitas Management requiring the firms receiver to pay $453 million in disgorgement. Attorneys for the District of Oregon. They agreed to plead guilty and cooperate with the government. The Aequitas entities, Jesenik, and Gillis consented to the entry of final judgment without admitting or denying the SECs allegations. Marketing? Waiver of indictment signed and accepted by the Court. District of Oregon By the time Corinthian filed for bankruptcy and students went on strike refusing to pay their loans some 75% of the receivables of the Aequitas notes came from the for-profit scam, according to RIA Intels first story on Aequitas. According to court documents, Aequitas created and operated investment funds that purchased trade receivables in education, health care, transportation, and other consumer credit areas. 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. It is being prosecuted by Scott E. Bradford and Ryan W. Bounds, Assistant U.S. PORTLAND, Ore.U.S. 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. Irvine, California-based Eric Gallinger is affiliating with LPL through Stratos Wealth Partners. Jesenik, a former resident of West Linn, Oregon, is charged in a 32-count indictment with conspiracy to commit mail and wire fraud, wire fraud, bank fraud, and money laundering. Attorneys for the receiver now in charge of Aequitas, have voiced alarm at the share of the insurance money spent by Jesenik. At a hearing in U.S. District Court on Monday, Janke confirmed that as part of his plea agreement, he would oppose any sentence of less than three years. Sentencing is set for 8/5/2019 at 9:00AM in Portland before Judge Michael W. Mosman. Brians experience encompasses a variety of positions across commercial banking, investment banking, alternative asset management, and business advisory services. He also established Aequitass New York Office and directed Aequitass Lux Fund, a Luxembourg-based fund used to solicit international investors. A lock ( The Oregonian first reported the criminal charges and guilty plea. 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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. In these roles, he was responsible for directing Aequitass overall financial policies and accounting functions. They also have people who have helped raise money and sell businesses so they can help with that too. Brian Oliver, Aequitas Capital's longtime No. Its not just the amount of insurance money that went to Jesenik that concerns the receiver. Theyve got a team that really loves entrepreneurship and is equipped with different skill sets. Marketing? Brian received a Bachelor of Science degree from Oregon State University. Ameritrade and big law firms like Sidley Austin gave the local operation a sheen of legitimacy. The company's general counsel just quit. Oliver faces a maximum sentence of 30 years in prison, a $250,000 fine or twice the gross . 2023 RIA Intel, an Institutional Investor Publication. Rice headed Key Bank in Oregon for 12 years. brian oliver, aequitas brian oliver, aequitas Home Realizacje i porady Bez kategorii brian oliver, aequitas 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 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). In April, Brian Oliver, Aequitas. Learn more about reprints and licensing for this article. Brian Rice and Scott Gillis, two of the company's six senior partners, resigned in recent weeks. Community Rules apply to all content you upload or otherwise submit to this site. Among his responsibilities, Rice oversaw the solicitation of investments through registered investment advisors (RIA) and managed Aequitass affiliated RIAs. 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. The firm sold more than $300 million worth of private investment notes, mostly through financial advisers. Once a high-flying Lake Oswego . A locked padlock On or about January 12, 2015, Aequitas entered into a loan agreement with Wells Fargo to establish a $100 million line of credit. Over the last few years Cathedral has really provided sage advice as weve been growing our green building companies. [More: Aequitas meltdown underscores the importance of due diligence, caution]. II. But this one was worse. Community Rules apply to all content you upload or otherwise submit to this site. 2 executive Brian Oliver pleaded guilty to the same charges in April. The Aequitas entities, which are in receivership, will have to pay $540 million in disgorgement and interest as part of the final judgment. Please read our Terms and Conditions, Modern Slavery Act Transparency Statement, and Privacy Policy before using the site. Main Office: Brian Oliver and Olaf Janke, former senior Aequitas executives, have in recent months cut plea deals with federal prosecutors. An indictment is only an accusation of a crime, and defendants are presumed innocent unless and until proven guilty. Add Andrew MacRitchie and Brian Rice, second and third from right, to the list of former Aequitas executives now facing substantial legal defense costs. Co-founders Bob Jesenik and Brian Oliver had participated in too many sketchy deals for sophisticated Oregon investors to feel comfortable with them. Luminaries from the downtown business establishment wanted to join the team. Court finds guilty pleas to be knowing and voluntary. Defendant waived reading of the Information. 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. With love for the 60/40 portfolio fading, 50/30/20 looks to be the cool new kid on the block. As part of his plea agreement, Gillis has also agreed to pay restitution as determined by the government and ordered by the court. 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. The court appointed receiver now in charge of whats left of Aequitas opposes Rices and MacRitchies request for access to the insurance money. Both Rice and MacRitchie were high-profile Portland executives before joining Aequitas. Plus, Jeseniks monthly legal fees approximately quadrupled after he hired new counsel in approximately March 2017. The high-interest loans were terrible for students. | Link Errors Brian and his wife of 30 years live in Aurora, Oregon where they raised their family. Attorneys for the District of Oregon. 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. On March 16, 2016, pursuant to the Stipulated Interim Order Appointing Receiver, the Receiver was appointed as receiver . 1000 SW Third Ave Suite 600 The sentencing for former Aequitas Capital executive Brian Oliver has been moved again. Have a question about Government Services? Attorney Billy J. Williams announced today that Olaf Janke, a former owner and chief financial officer of Aequitas Management, LLC and several other Aequitas-owned entities, has pleaded guilty to conspiring to commit mail and wire fraud and money laundering. Brian A Oliver is Exec VP & Pres:Financial Svcs at Aequitas Capital Mgmt Inc. See Brian A Oliver's compensation, career history, education, & memberships. By early January 2016, Aequitass general counsel advised Gillis and other executives that the company would soon default on payments due to Private Note investors, causing an event of default on Aequitass loan agreement with Wells Fargo. Insight and analysis of top stories from our award winning magazine "Bloomberg Businessweek". There was the company that bought bad debt from hospitals for pennies on the dollar and then tried to collect on the debt. The court also required Robert J. Jesenik, the firm's former CEO, and Brian A. Oliver,. All material subject to strictly enforced copyright laws. But it appears they are far from done. A locked padlock SEC charges advisor over Aequitas conflicts of interest. The company opened slick new offices in New York City. 04/19/2019 11 Waiver of Indictment by Brian A. Oliver (schm) (Entered: 04/19/2019) | Advertising There was no more hiding the fact that Aequitas was broke. They also have people who have helped raise money and sell businesses so they can help with that too. PORTLAND, Ore.U.S. It was the beginning of the end for the high-flying company. | Sign In, Verdict Corrections On March 10, 2016, the Securities and Exchange Commission (" SEC ") filed a complaint in this Court against the Entity Defendants 1 and three individual defendants, Robert J. Jesenik, Brian A. Oliver, and N. Scott Gillis. PORTLAND, Ore.U.S. His attorneys have submitted bills for at least 2.7 million, far more than any other defendant. Sam Kauffman is MacRitchies attorney. More Local News to Love Start today for 50% off Expires 3/6/23. He was the British honorary consul to Portland. Timothy Laniers firm in Neptune Beach, Florida, focuses on serving doctors and health care executives.