Dee Allen Randall of Kaysville Charged in Alleged Ponzi Scheme and Related Crimes
$72 million from 700 local and national investors allegedly raised and used fraudulently
SALT LAKE CITY June 18, 2014 — Attorney General Sean D. Reyes and Assistant Attorney General Jacob S. Taylor filed Criminal Information documents and an Affidavit of Probable Cause for multiple counts of securities fraud and other related charges against Dee Allen Randall of Kaysville, Utah for allegedly using investor funds for purposes unrelated to their investments. According to the AG’s Office Mr. Randall allegedly raised more than $72 million from approximately 700 investors nationwide in one of Utah’s largest alleged Ponzi schemes.
“Our office continues to work cooperatively with Utah’s Department of Commerce to aggressively investigate and prosecute white collar crime,” said Attorney General Sean Reyes. “Although Utah is known as a national leader for our robust economy and business friendly environment, we are also extremely vulnerable to fraud – especially affinity fraud. We have recently made internal changes in the AG’s Office by adding a new Markets and Financial Fraud division and by promoting some of our strongest leaders to battle individuals and companies engaged in fraud.”
“Dee Randall’s massive alleged ponzi scheme is a harsh reminder that all of us need to be very careful where we put our money no matter our age or the size of our nest egg,” stated Keith M. Woodwell, Director of the Division of Securities. “Our Division is thankful for the great work by Assistant Attorney General Jake Taylor in bringing the criminal case and our valued partnership with the new team at the Attorney General’s Office.”
Randall is accused of using investor funds for purposes unrelated to their investments, including payments to other entities that he owned and/or controlled, payments to other investors participating in his various offerings, payments to individuals associated with him and/or other businesses, and cash withdrawals. In addition, he allegedly failed to disclose to investors that he had sizable judgments issued against him and that he had filed for personal bankruptcy.
As detailed in the Criminal Information documents, Randall is being charged with 21 second degree felony securities fraud counts, one third degree felony securities fraud count, and one second degree count of pattern of unlawful activity. The Division of Securities investigated this case for the past two years and the charges are allegations. The defendant is presumed innocent unless and until proven guilty. All factual recitations are derived from documents filed in court.