INDIANAPOLIS — Two people have been charged after Indiana officials say they guaranteed an elderly victim “life-changing” results on security investments they weren’t licensed to sell.
Officials said Thursday that Indianapolis resident Warner Walls and his business partner Sherry Jordan had been charged with several felonies each after they reportedly scammed a woman into buying securities they had no authority to sell.
Secretary of State Diego Morales said in a release Thursday that Walls owned Abdundant Holdings, LLC, a Domestic Limited Liability Company headquartered at 1311 West 96th Street in Indy. Jordan was the Chief Financial Officer of the company, officials said.
According to Morales, the victim contacted the SEC after she said she invested $95,000 in Abundant Holdings, LLC. Through an investigation, officials determined that Walls and Jordan had convinced the woman that the investment was “lucrative” and “life-changing.”
The large investment was supposedly in aluminum alloy, coal and LNG gas, documents show. The issue? Walls and Jordan were not registered to sell securities and could not make any guarantees regarding the investment.
“Proper registration of investment brokers and securities offerings affords investors necessary information to make informed investment decisions,” Morales said. “Registration of offerings is necessary to prevent deceit, misrepresentations, and other fraud in the sale of securities. The Securities Division will continue to hold individuals accountable for failure to register and protect Hoosier investors.”
Walls was charged with seven felonies, including two counts of Unlawful Sale of Securities, one count of Unregistered Broker Dealer, one count of Unregistered Securities Agent and three counts of Securities Fraud. All charges are level 5 felonies except for Securities Fraud, which has been elevated to a level 4 felony due to the victim being over 60.
Related charges were also filed against Jordan, who was charged with two counts of Unlawful Sale of Securities, one count of Unregistered Broker Dealer and one count of Unregistered Securities Agent. All charges are level 5 felonies.
People who may have invested in the past with Walls, Jordan or Abundant Holdings, LLC, are being encouraged to contact the Indiana Securities Division at (317) 262-6681 or online at www.securities.sos.in.gov.
