Accused Ponzi Fraudster, David Dadante, ripped off more than 100 people who altogether invested tens of millions with him, thinking they were placing their money in a blue chip stock fund. In the end, they were only really placing their cash into Dadante's pockets.

Between 1999 and 2005 he blew through nearly $30 million and when he wasn't busy gambling away investors money, prosecutors say that Dadante and two brokers - one from Advest (now part of Merrill Lynch) and one from Ferris Baker Watts - were busy manipulating the stock price of the Georgria-based Innotrac Corporation.

Late last week Dadante was charged with two counts of securities fraud. His two apparent accomplices have not yet been charged or publicly named. Details here.

Labels: Advest, David Dadante, Ferris Baker Watts, Fraud, ponzi scheme, securities

Ferris Baker Watts director of retail sales, Patrick Vaughn headed back to work this week, after taking a voluntary (cough) leave of absence from the firm in response to SEC and internal investigations (both still in progress) of FBW trades involving Ohio's IPOF fund. IPOF Investors have claimed that...

"...former Ferris broker Stephen Glantz made improper trades with fund money, court documents show. IPOF Fund principal David Dadante is facing criminal charges in Ohio and a civil lawsuit by the SEC, court documents show.

Vaughn isn't the only FBW employee tainted by the IPOF investigation. Louis Akers, director of Ferris's private client group, remains on leave and...

"Ferris general counsel Ted Urban and director of institutional sales Horace Usry were also on leaves of absence while Ferris investigates the trading matter. Urban retired March 1, and Usry resigned in late February."

Going to be a tense reunion around the ol' water cooler, I'd imagine.

More here on the Ferris Baker Watts investigation.

-- MDT

Labels: Ferris Baker Watts, IPOF, Patrick Vaughn

Two executives from Baltimore-based brokerage firm, Ferris Baker Watts will be taking some time off in response to an ongoing SEC investigation. Louis Akers, director of Ferris's private client group, and Patrick Vaughan, director of retail sales will both be taking leaves of absence pending the results of an SEC investigation into trading activities at FBW.

More from the Washington Business Journal.

-- MDT

Labels: Ferris Baker Watts, homeland security, investigation