Two Local Businessmen Plead Guilty to Multiple Federal Fraud Charges Involving Elderly Victims in St. Louis
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Two Local Businessmen Plead Guilty to Multiple Federal Fraud Charges Involving Elderly Victims in
According to the indictment,
During 2004, Palmer solicited several members of a family who had received funds upon the death of their elderly aunt with the false representation that Princeton would place those funds in a real estate investment for the benefit of those customers. Based upon his false representations, the family members transferred some or all of those funds to Princeton.
In 2005, Palmer solicited funds from an elderly individual and her family with the false representation that they would place those funds in a real estate investment for her benefit. Based on those representations, the family transferred her funds to Princeton.
During 2006 through 2010, Palmer solicited investment funds from two elderly sisters with the false representations that Princeton would make suitable investments with those funds. They transferred their funds and control of their stock holdings to Princeton and, later Palmer and Driver sold and liquidated the stocks and persuaded one of the sisters to liquidate a life insurance policy as well and transfer the funds to Princeton.
During 2007 through 2009, Driver solicited investment funds from an elderly woman who transferred her funds as well as control of her stock holdings to Princeton.
In 2006, an elderly woman was solicited by Driver to invest her personally held funds in a series of life insurance annuities through Princeton. Princeton used her funds to purchase four life insurance annuities. As a further part of the scheme, during in or about 2008 and 2009, at Driver's direction she liquidated three of her life insurance annuities and provided those funds to Princeton based upon the false representations of the funds would be placed in suitable investments for her benefit.
Most or all of the funds transferred to Palmer, Driver, and Princeton by the numerous victims were used by Palmer and Driver for their own personal uses and the general operating expenses of Princeton. Palmer and Driver also engaged in Ponzi-type transactions where they used some funds provided by new customers to pay old customers who falsely believed they were receiving the returns on their purported investments.
In all cases, Palmer and Driver obtained approximately
Palmer, 45,
Each count of mail and wire fraud carries a maximum penalty of 20 years in prison and/or fines up to
This case was investigated by the
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