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INVESTOR ALERT – ATTORNEY GENERAL ANNOUNCES INDICTMENTS IN DELAWARE ADVANCE LOAN FEE SCAM

Consumer Protection | Department of Justice | Department of Justice Press Releases | Fraud | Date Posted: Tuesday, April 18, 2006



(Wilmington, DE): On April 17, 2006, the New Castle County Grand Jury returned a 28-count indictment against Daniel L. Ginsburg and former Delaware Finance Secretary Joseph T. Cashman, charging the two with racketeering, conspiracy, theft, securities fraud, and securities registration violations for activities related to a fraudulent advance fee loan scheme operating in Delaware. The New Castle City Police Department, who received the initial complaint from a Texas victim, assisted the Attorney General’s Office in the investigation.

Defendants Ginsburg and Cashman are alleged to have promoted a methodical, ongoing advance fee loan scheme through several business entities situated in Delaware, including Thatch, Inc. and The Two Js. The Defendants are said to have approved non-existent loans totaling millions of dollars for out-of-state businesses in need of financial capital at reasonable rates, but borrowers had to pay a percentage of the gross loan amount in advance as “points” on the loan, or “earnest money.” Once the victims paid the advance fee, they never received the loans they were promised, but were continually assured by Ginsburg and Cashman that the money was forthcoming. When the victims requested refunds on the advance payments they made on the loans, they were never reimbursed.

Investigators are searching for other potential crime victims. If you have any information on loans solicited by Joseph Cashman and/or Daniel Ginsburg regarding the businesses entities of Thatch, Inc., The Two J’s, Associates of Emma, L&T Trust, or SGE Associates, please contact Chief Securities Investigator Stanley J. Yackoski at (302) 577-8935.

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INVESTOR ALERT – ATTORNEY GENERAL ANNOUNCES INDICTMENTS IN DELAWARE ADVANCE LOAN FEE SCAM

Consumer Protection | Department of Justice | Department of Justice Press Releases | Fraud | Date Posted: Tuesday, April 18, 2006



(Wilmington, DE): On April 17, 2006, the New Castle County Grand Jury returned a 28-count indictment against Daniel L. Ginsburg and former Delaware Finance Secretary Joseph T. Cashman, charging the two with racketeering, conspiracy, theft, securities fraud, and securities registration violations for activities related to a fraudulent advance fee loan scheme operating in Delaware. The New Castle City Police Department, who received the initial complaint from a Texas victim, assisted the Attorney General’s Office in the investigation.

Defendants Ginsburg and Cashman are alleged to have promoted a methodical, ongoing advance fee loan scheme through several business entities situated in Delaware, including Thatch, Inc. and The Two Js. The Defendants are said to have approved non-existent loans totaling millions of dollars for out-of-state businesses in need of financial capital at reasonable rates, but borrowers had to pay a percentage of the gross loan amount in advance as “points” on the loan, or “earnest money.” Once the victims paid the advance fee, they never received the loans they were promised, but were continually assured by Ginsburg and Cashman that the money was forthcoming. When the victims requested refunds on the advance payments they made on the loans, they were never reimbursed.

Investigators are searching for other potential crime victims. If you have any information on loans solicited by Joseph Cashman and/or Daniel Ginsburg regarding the businesses entities of Thatch, Inc., The Two J’s, Associates of Emma, L&T Trust, or SGE Associates, please contact Chief Securities Investigator Stanley J. Yackoski at (302) 577-8935.

###

image_printPrint


Graphic that represents delaware news on a mobile phone

Keep up to date by receiving a daily digest email, around noon, of current news release posts from state agencies on news.delaware.gov.

Here you can subscribe to future news updates.