Former Sheriff’s Deputy Sentenced in Ponzi Scheme Fraud

David N. Hawkins, a former sheriff’s deputy was sentenced to thirty months in federal prison for his role in a Ponzi scheme that raised more than $1.2 million from victims many of which were law enforcement personnel.  Hawkins will also serve three years of supervised release upon completion of the sentence.  Hawkins pleaded last year to one count of wire fraud and one count of money laundering.

Hawkins was hired by the El Paso Sheriff’s Office in 2001, and then became a sheriff’s deputy.   Hawkins then enrolled in foreign currencies (“forex”) trading courses. In 2009, Hawkins claimed himself to be a sophisticated currency trader with years of success and consistent gains from forex trading.  According to the FBI, Hawkins represented to potential investors that an investment in his PD Hawk Investment Fund would yield annual returns of over 100%.  Hawkins raised more than $1 million from over 70 investors.

According to the FBI, Hawkins investments were never profitable and he was operating a Ponzi scheme, using investor funds to repay earlier investors and to make purported interest payments.  Additionally, the SEC charges that Hawkins used the investor funds he recieved as his own personal piggy bank, purchasing multiple automobiles, paying personal expenses, and even buying two semi-professional indoor football franchises. Like his investments, the teams did  not become operational, and authorities began investigating after Hawkins abruptly cancelled the 2012 season.  According to the FBI, investor losses exceed $200,000.

For further information about this blog post, please contact Brenda Hamilton, Securities Attorney at 101 Plaza Real S, Suite 202 N, Boca Raton Florida, (561) 416-8956, by email at info@securitieslawyer101.com or visitwww.securitieslawyer101.com. This memorandum is provided as a general informational service to clients and friends of Hamilton & Associates Law Group and should not be construed as, and does not constitute, legal and compliance advice on any specific matter, nor does this message create an attorney-client relationship. For more information concerning the rules and regulations affecting the use of Rule 144, Form 8K, FINRA Rule 6490, Rule 506 private placement offerings, Regulation A, Rule 504 offerings, SEC reporting requirements, SEC registration on Form S-1 and Form 10, Pink Sheet listing, OTCBB and OTCMarkets disclosure requirements, DTC Chills, Global Locks, reverse mergers, public shells, go public direct transactions and direct public offerings please contact Hamilton and Associates at (561) 416-8956 or info@securitieslawyer101.com. Please note that the prior results discussed herein do not guarantee similar outcomes.

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