Raymond A. Erker of Avon was found guilty of defrauding investors following a seven-day trial before U.S. District Judge Dan Polster in Cleveland, acting U.S. Attorney Michelle M. Baeppler announced.
Erker, 50, a former investment advisor, was convicted of stealing more than $9.3 million from clients in a Ponzi scheme, Baeppler said in a news release.
Also charged in this matter were co-defendants Kevin Krantz, 56, and Tara M. Brunst, 47, of Olmsted Falls.
Krantz and Brunst previously pleaded guilty and are awaiting sentencing.
According to court documents and evidence presented at trial, from January 2013 to July 2018, Erker, Krantz and Brunst conspired to devise a scheme that stole $9,366,976.37 from at least 54 investors, the release said.
As part of the scheme, Erker sold investments that he misrepresented as annuities and senior secured notes with no risk of loss and with a guaranteed rate of return, according to the release.
Court documents also state that Erker and the co-conspirators, without the approval or consent of investors, diverted funds to other entities that they controlled and their personal bank accounts.
Additionally, Erker failed to disclose to clients that he maintained substantial or limited ownership interests in companies receiving investments from the scheme, the release said.
To keep up with promised rates of return, Erker falsely represented that payments to previous investors were rates of return and interest when the payments actually were…