General Crime

* David Prince Arrested In Saratoga By FBI For Alleged Investment Fraud

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A Saratoga lawyer who ran three investment funds was arrested by the FBI this morning and brought into federal court in San Jose for an initial appearance on charges of defrauding investors of hundreds of thousands of dollars. David Prince, 46, of Saratoga, was charged by a federal grand jury in San Jose on Wednesday with 12 counts of wire fraud in a sealed indictment.  The indictment was unsealed after Prince was arrested in Saratoga this morning.  The indictment does not give the exact amount investors allegedly lost, but says that Prince raised $1.2 million from more than 30 investors and “the vast majority” of them never got their money back. Instead, the indictment alleges, Prince converted $220,000 of the
funds for his personal use and into cash, transferred at least $68,000 to a foreign bank account and “squandered much of the remaining funds day-trading and on purposes unrelated to his victims’ supposed investments.” U.S. attorney’s office spokesman Jack Gillund said Prince made an initial appearance before U.S. Magistrate Patricia Trumbull this morning.
Gillund said prosecutors asked to have Prince held without bail on the ground that he is a serious flight risk. Trumbull ordered a full bail review and ordered Prince held in custody until a detention hearing in her court next Tuesday. The three funds run by Prince were known as the Leopard Fund, MJE Invest! and Dawnstar Alliance.  The indictment alleges he falsely promised investors they would earn returns as high as up to 5 to 25 percent per month. It claims Prince used money from new investors to make supposed interest payments to earlier investors and was not a registered broker as required by SEC regulations. The 12 fraud counts each carry a possible maximum sentence of 20 years in prison upon conviction, but if Prince is convicted, a judge would consider federal sentencing guidelines before determining the penalty. In addition to the 12 fraud counts, the indictment contains a 13th count seeking forfeiture of the proceeds of the alleged fraud.

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3 Comments

  • David Prince Was Arrested In Saratoga by the FBI

    Please note: An Indictment contains only allegations against an individual and, as with all defendants, Prince must be presumed innocent unless and until convicted.

    If David Boyer Prince, 46, carried out an investment fraud scheme from August 2005 to January 2007, and where was the S.E.C. during this time period? Why did the S.E.C. fail to do their job if David Boyer Prince did this during this time period of August 2005 to January 2007?

    The FBI arrest people without any news coverage and what was the motive of the FBI to have the media involved? Why the media circus?

    From January 2007 to March 2010 there was no intervention from the S.E.C, and there was no intervention from the Federal Bureau of Investigation. Where was United States Attorney Joseph P. Russoniello & Joseph Fazioli is the Assistant United States Attorney during this time from January 2007 to March 2010 had an indictment done against David Boyer Prince then?

    United States Magistrate Judge Patricia V. Trumbull is having David Prince being detained until March 9th Tuesday at 1:30 p.m., and will United States Magistrate Judge Patricia V. Trumbull look into Federal Bureau of Investigation if the F.B.I. violated David Boyer Prince rights when he was arrested.

    And look into the conduct of the F.B.I. agents that were involved? Who were the person / Law Firm that tipped of the F.B.I.? And what was the motive of the person (s)

    Did United States Magistrate Judge Patricia V. Trumbull have any history of violating prisoner’s rights, and will United States Magistrate Judge Patricia V. Trumbull violate prisoner David Prince rights in this case?

    Why the indictment did not give the exact amount investors allegedly lost? And who are the investor’s? And why did not the investor’s contact the S.E.C. during August 2005 to January 2007?

    Please note: An Indictment contains only allegations against an individual and, as with all defendants, Prince must be presumed innocent unless and until convicted.

  • John, why do you bother to suggest that Hollander Law Offices did any thing wrong? Dude Get A Life!

  • David Prince was set up by Hollander and Hollander Law Firm in Oakland CA. Hollander Law Offices does not have a California corporation or a LLP in the State of California.
    Investigate if Hollander Law Offices have even a business license in the City of Oakland?
    Investigate Hollander Law Offices for any illegal business transactions, since they do not have “A Professional Corporation”

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