NJ Sues Passaic County Company, Executives
A Passaic County marketing company defrauded more than 50 investors of approximately $1.4 million, according to a lawsuit filed by the New Jersey Office of the Attorney General and New Jersey Bureau of Securities.
The six-count complaint named the defendants as Branded Marketing, LLC (1800tarjetas.com) and its successor company, Branded Marketing, Inc., as well as President/CEO Richard Jackowitz, Chief Marketing Officer Anthony Uva and Manager of Investor Relations Patrick Gainey.
Allegedly, the defendats told perspective investors that they'd launch a pre-paid debit card for Hispanic consumers who were unable to obtain a traditional credit card. As a result of the misrepresentations, the defendants raised at least $3 million from investors.
Instead of the using the money for legitimate business purpose, Jackowitz allegedly misused hundreds of thousands of dollars for his personal use, including the purchase of a 28-foot boat and the installation of a home theater.
"Our Bureau of Securities remains vigilant in investigating financial fraud and protecting the hard-earned assets of investors," Attorney General Jeffrey S. Chiesa said.
Also included in the complaint were claims that the defendants violated state law by selling unregistered securities, acted as agents without being registered and made materially-false or misleading statements or omissions of facts to investors.
"These defendants pitched what appeared to be a legitimate investment opportunity, but was actually just a song-and-dance routine to get investors to part with their money," said Eric T. Kanefsky, Acting Director of the State Division of Consumer Affairs. "They used deceit and lies to line their pokcets with investors' money."