A Sacramento man has been arrested for his alleged involvement in an $11 million Central Valley Ponzi scheme. Christopher Jackson, 43, of Sacramento, faces wire fraud charges stemming from an investment scam that bilked investors out of millions.
According to U.S. Attorney Benjamin Wagner, Mr. Jackson operated his alleged Ponzi scheme between 2005 and 2009, using the corporate name Genesis Innovations. Investors were under the impression that their money was going to be used to invest in real estate and were supposedly promised a 14 percent annual rate of return.
Court documents indicate that Mr. Jackson only used about $2.5 million to invest in real estate. Mr. Jackson has been accused of using the rest of the money to pay returns to older investors, as well as to support his lavish lifestyle.
According to the complaint, Mr. Jackson purchased a BMW and leased a Lamborghini and Range Rover. He has also been accused of frequenting high-end restaurants, staying at luxury hotels and buying expensive jewelry.
Federal authorities arrested Mr. Jackson on Monday, November 15, 2010. He was released later that day on pretrial conditions that preclude him from selling investments of any kind.
The FBI has asked anyone who has invested with Mr. Jackson in the last six months to contact them at (916) 481-9110.