Investors Lose $1.9 Million to Con Man

Investment fund frauds are often based on a scheme focused on a specific group or one that that has been targeted.  The theme often aids the fraudster in marketing the shares to raise money. The case discussed below has some elements borrowed from other schemes – it targeted in part members of the Nigerian American community.  But it also targeted anyone who sought to make money.  SEC v. Nantomah,  Civil Action No. 2:25-cv-01130 (E.D. Wis. Filed August 1, 2025).

Named as defendants in the action are:  Dr. Joseph J. Nantomah, a resident of Milwaukee, Wisconsin;  and three entities he controlled — Investors Capital LLC, Global Investors Capital LLC,  and High Income Performance Partners.

Beginning in May 2020, and continuing for the next four years, Defendant Nantomah solicited investors to purchase shares in his entities.  Over the period about 30 investors paid $1.9 million to acquire shares. Investors were told that their money was being invested by an “Incredibly Successful Entrepreneur” who had amassed a multi-million real estate portfolio after arriving in this country from Africa with just $4,700.

Defendant’s story was repeated on various social media.  Defendant also added claims such as he emigrated to support himself and family. In addition, Defendant told investors that he did not need to work – he had obtained profits quickly. The representations were made either orally or in writing.

In fact, most of the investor capital was held by Dr. Nantomah. His claims were largely false. Nevertheless, investors entrusted him with their money.  The complaint alleges violations of Securities Act Sections 5(a), 5(c) and 17(a) and Exchange Act Section 10(b) and Rule 10b-5 along with Section 20(a). See  Lit. Rel. No. 26368 (Aug. 6, 2025).