SEC charges duo in $275 million water vending machine Ponzi scheme
By 
Oscar Gonzalez2025-08-18T14:12:00
The owner of a water machine vending company and a portfolio manager were allegedly behind a Ponzi-like scheme that raised more than $275 million, according to the U.S. Securities and Exchange Commission (SEC).
Ryan Wear—owner of Washington state-based companies Water Station LLC and Creative Technologies, Inc.—and Jordan Chirico, a portfolio manager of a hedge fund that was part of Jefferies Financial Group’s Leucadia Asset Management, were charged with fraud, the SEC said Thursday in a press release. The two collaborated in a scheme from September 2016 to February 2024 to defraud more than 250 investors.
The SEC alleged that Wear took investor money to purchase water vending machines to generate revenue, but those machines either never existed or had already been sold. The scheme brought in $165 million.
THIS IS MEMBERS-ONLY CONTENT
You are not logged in and do not have access to members-only content.
If you are already a registered user or a member, SIGN IN now.
Related articles
-
News BriefDOJ, SEC charge owner of Pennsylvania companies of running $770M Ponzi scheme
The majority owner of a Pennsylvania investment firm faces 100 years of prison time and huge fines for allegedly running a $770 million Ponzi scheme centered on an ATM company he also owned.
-
News BriefDOJ charges California fintech executives in $248M fraud involving falsified documents
The co-founders of a California financial tech and sustainability services company defrauded investors and lenders of $248 million, according to the Department of Justice.
-
ArticleFraud, money laundering, and sanctions prompt global regulators to increase scrutiny of law firms
Legal firms face growing global regulatory pressure, requiring compliance managers to focus on integrated systems, identity verification, and staff training to prevent crime and penalties.
More from Regulatory Enforcement
-
ArticleSFO head to step down as speculation grows over future of agency
Nick Ephgrave, director of the U.K.’s main anti-corruption enforcement agency, the Serious Fraud Office, will retire at the end of March—about halfway through his appointed five-year term. Experts say he leaves the agency in a lot better position than he joined it in September 2023.
-
News BriefFTC puts GM’s puts connected vehicle data practices under compliance spotlight
The U.S. Federal Trade Commission finalized its order against General Motors and its OnStar subsidiary over the improper usage of geolocation and driving behavior data of drivers.
-
ArticleKaiser plans pay $556M to settle Medicare upcoding allegations
Kaiser Health affiliates have agreed to pay more than $556 million to settle allegations originally made by whistleblowers that they ignored compliance department warnings and unlawfully reworked diagnoses for Medicare patients in order to receive higher payments from the federal government.