The owner and three employees of a US business promising high returns on the Iraqi dinar have been indicted by a federal grand jury on conspiracy and wire-fraud charges for allegedly duping investors out of more than $23 million.
According to reports, Rudolph M. Coenen, 47, the owner of Bayshore Capital Investments LLC, is charged with conspiracy to commit wire fraud, wire fraud, and money laundering. Three others — Bradford L. Huebner, 65, Charles N. Emmenecker, 65, and Michael L. Teadt, 66 — were also named in the indictment.
Jacksonville.com reports that to promote the expertise, Coenen was presented as a wounded Iraqi veteran who had deep knowledge of dinar trading and was a former vice president at JP Morgan Chase. According to the indictment, Coenen never served in the first Gulf War and only worked at JP Morgan Chase for one day as a loan officer. Claims he had been awarded the Purple Heart were also false, the indictment said.
"These defendants made false statements time and again to convince people to part with their savings and hard-earned cash," U.S. Attorney Steven Dettelbach said in news release. "The fact that one defendant falsely claimed he was wounded while fighting in Iraq is particularly egregious."
The men allegedly promoted dinar sales through a website and in conference calls by saying the investments were protected by the U.S. government and had the potential to rocket in value under a revaluation of the currency.
Attorney Richard Kerger, who represents Huebner, said the charges are baseless and he didn’t believe any laws were intentionally broken.“These people are getting fair value for their money,” he said of the investors. “This is a complicated setting but there are reasonable answers.” Kerger said he was not as familiar with Coenen’s case. He said Coenen has been representing himself in court.
(Sources: Jacksonville.com, Toledo Blade)