John Wayne Zidar et al.

On January 24, 2000, the SEC filed a civil action to halt an ongoing fraudulent scheme orchestrated by John Zidar and others.  The SEC alleged the defendants raised over $74 million from at least 3,200 U.S. and Canadian investors in connection with a prime bank scheme by promising annual returns of 120% as well as preservation of invested funds.  The SEC also alleged the defendants misappropriated investor funds, purchasing houses and cars and transferring millions of dollars to offshore bank accounts.  As part of a criminal action, Zidar was sentenced to 30 years in prison, and others were sentenced to prison terms.

For more information about the SEC's action and the criminal actions, you can read Litigation Release Nos. 16418 (Jan. 27, 2000), 16548 (May 10, 2000), 16598 (June 19, 2000), and 18267 (Aug. 4, 2003).

The Court appointed Michael D. McKay as Receiver.  For the latest information, please visit the Receiver's website.

http://www.sec.gov/divisions/enforce/claims/zidar.htm