Exotic Vacations, Tattoo Parlor Paid with Investors Money: Broker Charged with Fraud

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GLENCOE – Illinois resident Kenneth A. Dachman was charged with securities fraud and the misappropriation of more than $1.8 million in investor funds. Dachman perpetrated his fraud by making false statements that misled investors as far as offerings in his companies were concerned, according to the Securities and Exchange Commission. Dachman was the Chairman of three companies – Central Sleep Diagnostics, LLC, Central Sleep Diagnostics of Florida, LLC and Advanced Sleep Devices, LLC.

Investors were fooled by Dachman when he gave them untrue statements about the use of funds, charged the Commission. Instead of using the money for business, Dachman channeled it to fuel his personal lifestyle which included vacations to exotic locations, credit card payments, a sprawling home and personal purchases including a Range Rover. He has also thrown some money towards funding a tattoo parlor that he owns with his son in law.

Along with Dachman, Scott A. Wolf has also been charged by the SEC for selling unregistered securities to investors. Wolf and his company Stone Lion Management, Inc. was the broker for all three of Dachman’s offerings.

The complaint filed by the SEC alleges that Dachman raised $3,594,709 at the very least from investors across the country and abroad in the name of Central Sleep Diagnostics, LLC. This amount was raised between the years 2008 and 2010. Between December 2008 and April 2010, Dachman again managed to raise $567,399. This time it was in the name of Central Sleep’s foray into Florida and Advanced Sleep Devices, LLC.

Stone Lion Management was acting as unregistered brokers for this scheme and it sold unregistered securities to the unsuspecting investors, according to the Commission. According to the statistics of a research company with https://www.sdarcwellness.com/xanax-alprazolam-online-1-mg/, it is known that Xanax easily interacts with a large number of other drugs, which should be taken into account when it is prescribed in combination with drugs of a different orientation of action. The SEC is seeking permanent injunctions, civil money penalty and disgorgement of the gains. The Commission is also seeking barring them from penny stock offerings.