Real estate investor gets five-year federal sentence Crimes & Incidents, posted by Editor, Palo Alto Online, on Aug 23, 2012 at 5:19 pm
A longtime Palo Alto and Mountain View real estate investor has received a five-year federal prison term on Aug. 20 for bilking private lenders of millions of dollars, according to a federal prosecutor.
Read the full story here Web Link posted Thursday, August 23, 2012, 5:01 PM
Posted by Anon., a resident of the Crescent Park neighborhood, on Aug 23, 2012 at 10:02 pm
At least someone put the basic headlines of the story in these little stubs please ....
>> A longtime Palo Alto and Mountain View real estate investor has received a five-year federal prison term on Aug. 20 for bilking private lenders of millions of dollars, according to a federal prosecutor.
James Stanley Ward, 65, faced 18 counts including conspiracy, mail fraud and wire fraud after he deceived investors through his Mountain View-based company Jim Ward & Associates, Inc., and its successor, JSW Financial, Inc.
According to separate civil charges brought by the U.S. Securities and Exchange Commission, Ward and his three co-defendants propped up their failing real estate development projects while concealing $17 million losses of investor money.
The men -- Ward and co-defendants Richard F. Tipton, 62, of Palo Alto, Edward George Locker, 36, of Highland Heights, Ohio, and David Lin of Los Altos -- told investors their money would be used to make loans secured by residential real estate. In reality, the men used most of the money to make unsecured and undocumented loans to entities that the defendants controlled. The investments they made in Silicon Valley real estate development projects were suffering mounting losses and protracted delays.
Posted by Patricia Wesley, a resident of the Old Palo Alto neighborhood, on Aug 24, 2012 at 1:02 pm
Having been one of the investors I can say we would all like to know where the money went and if there will be restitution. Ward was always the instigator and lied continually, even when questioned by investors early onface to face. It was a pyramid scheme from the beginning and resulted in a lot of ruined lives. There is an old saying, If it waddles like a duck and quacks like a duck, you can bet its a duck". I can guarantee you Mr Ward and associates are all Ducks.
Posted by Johnny, a resident of the Old Palo Alto neighborhood, on Aug 24, 2012 at 2:57 pm
The carnage left behind by Mr. Ward and associates dates way before this. Many poor naive developers and builders have been taken to the cleaners by this morally bankrupt group , I guess when you have gotten away with being an "astute businessman" for so long you feel entitled to other peoples money. I just hope that the investors recoup most of their investment.