Beware the promises of high returns. Lots of sharks in the waters

12 Replies

Hello all –

To beat my drum about KNOWING WHO YOU DO BUSINESS WITH!

I was pitched by Woodbridge a couple of years ago. At that time I decided I wanted my name on title in real estate transactions. This way, if I lose money it’s my fault.

The Securities and Exchange Commission has announced charges against a phony mortgage lender it says bilked thousands of investors in a $1.2 billion Ponzi scheme. The SEC also issued an asset freeze against a group of unregistered funds owned by the builder.
According to the SEC, Robert H. Shapiro and a group of unregistered investment companies called the Woodbridge Group of Companies scammed more than 8,400 investors who thought they were investing with a hard-money lender. Woodbridge advertised its primary business as issuing hard-money loans to commercial property owners who paid Woodbridge 11%-15% annual interest. In return for their investments, Woodbridge allegedly promised to pay investors 5%-10% annually.

https://m.mpamag.com/news/1-2-billion-scammed-from-investors-in-phony-hardmoney-lending-scam--sec-88637.aspx

Due diligence is soooo important

I am happy you posted this.  It will be a good reminder to check out the authenticity of sellers.

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@Steve Hodgdon   did this company also do structured settlements   or am I thinking of a company with same sounding name??

Originally posted by @Jay Hinrichs :

@Steve Hodgdon   did this company also do structured settlements   or am I thinking of a company with same sounding name??

 https://www.woodbridgeinvestments.com/

http://structuredsettlements.typepad.com/structured_settlements_4r/2017/12/woodbridge-structured-funding-llc-files-chapter-11-bankruptcy-3rd-structured-settlement-factioring-b.html

@Matt K.   same company ???   also there is a Robert Shapiro here in the NW that has a big foreclosure mill probably not same guy..

OUCH all the way around.

Originally posted by @Jay Hinrichs :

@Matt K.  same company ???   also there is a Robert Shapiro here in the NW that has a big foreclosure mill probably not same guy..

OUCH all the way around.

 I think so, look at the bottom of second link and it lists all the LLCs (its a lot). Name of them is Woodbridge Group.

@Matt K.   same company.. my friends brother in law works for them.. he is still getting paid.

Setting up for another American greed espisode.

@Jay Hinrichs

Speaking of which, here's the episode featuring my old boss at TBW. 

https://www.cnbc.com/video/2012/07/11/american-greed-lee-farkas-mortgage-loan-scam-.html

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