Tuesday, September 26, 2023
Courthouse News Service
Tuesday, September 26, 2023 | Back issues
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SEC Breaks Up $7 Million ‘Investment Club’

SANTA ANA, Calif. (CN) - Delilah Proctor and Shauntel McCoy defrauded people of more than $7 million in their Sun Empire / Empire Capital Asset Management scam, the SEC says in Federal Court. The agency says the women pushed their Ponzi scheme in "seminars" at an Anaheim hotel.

"In reality, the defendants are operating a multi-level marketing Ponzi-like scheme using money raised from later investors to pay prior investors," the SEC says. "Defendants expend investor funds for their own personal use or for use by other entities they control. These other entities are not disclosed to potential investors."

Proctor, 57, of Corona, managed the companies, the SEC says, and McCoy, 36, of Fontana, manages two of its "clubs."

They snared their "investors" at the Desert Palms Hotel and Suites, according to the complaint.The SEC also sued Sun Commerce and Investment, a Panama corporation operating out of Milpitas, which the SEC says the defendants have sent $2.4 million. It also sued Infinity Investment Club, a Wyoming LLC that operated out of the Desert Palms hotel, and accepted $185,000 from the defendants. And Sunland Investment Club, a Wyoming LLC operating out of Murrieta, took another $33,000, according to the complaint.

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