On December 10, 2024, the Securities and Exchange Commission charged Denver resident Ian Bell with securities fraud for lying to investors and misappropriating their funds in connection with a fraudulent day-trading scheme.
Bell pleaded guilty to one count of wire fraud and another for money laundering in connection with this matter. Under a plea agreement, he agreed to serve three years in prison.
The SEC’s complaint alleged that, between July 2020 and March 2023, Bell raised more than $1.3 million from at least 29 investors, including professional athletes in Colorado, who are unidentified in the complaint. The SEC alleges that Bell lied to investors about his trading performance, including by sending fabricated account performance screenshots.
According to the complaint, several of Bell’s investors referred family and friends to Bell because of the false statements. The SEC further alleges that Bell lost nearly all of the investors’ money. Bell then kept hundreds of thousands of dollars for his personal use. To conceal his fraud, Bell lied to investors about repayments.
The SEC’s complaint charges Bell with violating the antifraud provisions of Section 17(a) of the Securities Act of 1933 and Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5 thereunder. Federal prosecutors filed this complaint in the U.S. District Court for Colorado.
“Bell portrayed himself as a successful investment advisor and preyed on innocent victims for personal gain,” stated the prosecutor at sentencing. Federal officials also stated, “Bell defrauded innocent victims who had placed their trust in him and subsequently suffered financial losses and undue emotional stress.”
Bell is known for targeting professional athletes with his scam. The scam was not limited to professional athletes.
Jeffrey Pederson helps defrauded investors in Colorado.
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