A Raleigh man has been ordered to pay more than $5.2 million in penalties and restitution for operating a Ponzi scheme.
Michael Anthony Jenkins and his Raleigh-based company, Harbor Light Asset Management, were found by a federal judge to have fraudulently taken in at least $1.79 million from about 377 people, most of them in North Carolina.
According to the judge’s order, Jenkins falsely represented his company to investors, telling them that the money would be used solely for investment in E-mini futures and that the money would be wired to a specific trading account. Jenkins also sent investors spreadsheets and statements showing false trades, profits, and inflated values for Harbor Light’s investment in order to cover up the fraud, according to the order.
Jenkins also committed embezzlement and failed to register with the U.S. Commodity Futures Trading Commission as a Futures Commission Merchant.
Jenkins and Harbor Light were ordered to pay $1.3 million in restitution and $3.9 million in civil penalties.