Corporate & Securities Law

Fair Finance?s Tim Durham Arrested, Indicted

By Keith Griffin

Disgraced businessman Tim Durham has been arrested on charges of defrauding at least 5,000 Indiana and Ohio investors out of hundreds of millions of dollars. Durham, who is co-owner of Fair Financial, is accused of running a $200 million Ponzi scheme. The case against Durham is the largest corporate fraud case in Indiana?s history.

For more than two years, Durham has been the subject of a federal investigation for allegedly using Fair Finance - and the money that investors put into Fair - as his personal piggy bank. In November 2009, the FBI raided the offices of Fair Financial, as well as Durham?s other business, Obsidian Enterprises.

Durham?s March 16 arrest occurred at him home in West Hollywood, Calif., at about 2 a.m. He is scheduled to appear in a Los Angeles courtroom later this evening, where he intends to plead not guilty to one count of conspiracy to commit wire and securities fraud, 10 counts of wire fraud and one count of securities fraud. According to news report, Durham will waive extradition to Indiana.

Full post as published by Representing Investors on March 17, 2011 (boomark / email).