Court Freezes Assets and Appoints Receiver in Elaborate Securities Scheme Run by Westminster Man
On May 9, 2022, the Denver District Court appointed a receiver to take control of assets of David M. Anthony of Westminster, Colorado, Anthony Capital, LLC, and a series of other companies owned and controlled by Mr. Anthony based on allegations of a complex scheme of securities fraud.
This is the latest order in a matter that was initiated by Colorado Securities Commissioner Tung Chan in March. On March 1, 2022, Commissioner Chan filed a complaint alleging that David M. Anthony committed securities fraud and other violations. The complaint alleged that through a series of unlicensed companies that he owned and controlled, Mr. Anthony offered and sold unregistered securities including notes, bonds, and investments interests, eventually acquiring custody of over $26.5 million dollars of investors’ funds which he reinvested in part in life insurance settlement products, merchant cash advances and bonds. Some of those bonds were part of a large-scale and complicated Ponzi scheme in Florida that is currently the subject of a lawsuit by the U.S. Securities and Exchange Commission. Mr. Anthony made material misstatements and omissions in the offer and sale of investments, failed to disclose commissions, co-mingled investor assets, and used proceeds from later investors to pay off earlier investors.
In April 2022, the Denver District Court issued a preliminary restraining order and an asset freeze on David M. Anthony, Anthony Capital, LLC, and numerous other entities controlled by Mr. Anthony. On May 9, the same court ordered the appointment of a receiver.
The appointed receiver, Randall Lewis, is now directed and empowered to take immediate control and possession of the assets to protect and preserve the estate for the benefit of creditors and others.
“Knowledge is a first step to protect yourself from securities fraud. We want Coloradans to know about this matter and report to us if they invested in this scheme,” Commissioner Chan stated. “The Division of Securities examiners, investigators and auditors along with the lawyers from the Colorado Attorney General’s office achieved a really good outcome in this matter and by reporting, you can be a part of the effort.”
If you or someone you know has invested with David M. Anthony or any of the other defendants listed below, please contact the Colorado Division of Securities at DORA_securitieswebsite@state.
Defendant list: David M. Anthony; Anthony Capital, LLC; Anthony Capital Bond Fund 1, LLC; Anthony Capital Funding, LLC; Anthony Capital Alternative Investments, LLC; Anthony Capital Alternative Investments Income One Fund, L.P.; Anthony Capital Alternative Investments Income Two Fund, L.P.; Anthony Capital Alternative Investments Income Three Fund, L.P., LLC; Anthony Capital Alternative Investments Income Four Fund, L.P.; Anthony Capital Alternative Investments Income Five Fund, L.P., LLC; and sidebysidequotes.com LLC.
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About DORA:
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