Ponzi scheme broken up

A Hamilton-area man accused of running a $14-million US Ponzi scheme has agreed to turn over money and pay a penalty following a settlement reached with the U.S. Securities and Exchange Commission.

HAMILTON, Ont. — A Hamilton-area man accused of running a $14-million US Ponzi scheme has agreed to turn over money and pay a penalty following a settlement reached with the U.S. Securities and Exchange Commission.

Gordon Driver of Freelton, Ont., and his company, Axcess Automation, reached the agreement just days after the SEC had gone to a California court seeking a contempt order against Driver for not complying with previous court-ordered requirements.

The SEC was also asking the judge to consider jail time as a possible sanction against Driver if he was found guilty of contempt.

Driver and his company are alleged to have defrauded more than 100 Canadian and American investors since 2006 by promising them weekly returns on their investment as high as five per cent, based on special software he claims he developed to trade futures.

A court hearing will be held to determine the amount of money that Driver must turn over and the size of the penalty he faces.

Contacted by e-mail Saturday, Driver declined to answer questions about the agreement.

Driver and his company are not registered to sell and trade securities in either Ontario or the U.S.

The Ontario Securities Commission has already ordered Driver and Axcess Automation to cease all trading. (Hamilton Spectator)

Just Posted

Bystanders help Innisfail Mountie make arrest

A 35-year-old Ottawa man is facing a number of charges including resisting arrest

More supports for homeless needed for Red Deer

Provincial funding recently announced for Lethbridge

Second Central Alberta born jaguar dies

Mia’s brother Magnum dead at Discovery Wildlife Park

High profile individual delays UCP vote for Red Deer-South

Nomination vote to be held early in 2019

Police back mandatory alcohol screening

New legislation taking effect on Dec. 18 allows alcohol testing of all drivers legally stopped

Orlando SC acquires Canadian Tesho Akindele in trade with FC Dallas for cash

ORLANDO, Fla. — Canadian forward Tesho Akindele was traded to Orlando City… Continue reading

Koskinen notches third shutout, McDavid gets winner as Oilers blank Flames 1-0

EDMONTON — The Edmonton Oilers appear to have shored up their defence… Continue reading

Beyonce performs at pre-wedding party in India

Beyonce brought her star power to a pre-wedding party for the daughter… Continue reading

Kirk Douglas celebrates 102nd birthday

LOS ANGELES — Actor Kirk Douglas got to celebrate his 102nd birthday… Continue reading

Ellen Page steps up attack on Nova Scotia pulp mill’s effluent pipeline

HALIFAX — Hollywood actor Ellen Page is doubling down on her criticism… Continue reading

Pence aide out of running to be Trump’s next chief of staff

WASHINGTON — President Donald Trump’s top pick to replace chief of staff… Continue reading

Swath of South faces wintry mess: Snow, sleet, freezing rain

CHARLOTTE, N.C. — A massive storm brought snow, sleet, and freezing rain… Continue reading

‘I killed my best friend’: Opioids’ fatal grip on mayor, pal

MOUNT CARBON, Pa. — Janel Firestone found her son — the 24-year-old,… Continue reading

Most Read