Wall Street Financial Advisor Indicted on $4.3 Million Ponzi Scheme

On March 4, 2014, 41 year-old, Wing K. Lim, who is also known as Kent Lam, was indicted by a New York County grand jury on 31 counts of felony charges for money laundering, grand larceny and falsification of business records, and securities fraud violations under the Martin Act. Allegedly, Lim/Lam operated a multi-million-dollar securities fraud scheme for more than a year. Lim could face up to 25 years in prison.

Allegedly, Lim provided clients with fake statements showing a false balance in their accounts and stole money from at least five, but it could be dozens, of clients. Lim transferred the clients' money to his own personal accounts as well as accounts belonging to his family members. Lim's Ponzi scheme netted more than $4.3 million from five victims between August, 2012, and December, 2013. The investigation is continuing.

According to the investigation, allegedly Lim/Lam owned and operated Wall Street Investments, LP, a Manhattan investment firm from which Lim solicited his clients for money and falsely promised guaranteed rates of return. There were two hedge funds Lim allegedly solicited his clients for: DT China Growth Funds, LP, and Daytop Funds, LP. These funds were owned and operated by Lim/Lam. Some of the funds taken were then diverted for his home mortgage, a home equity loan pay-off, and the purchase of two new cars.

Lim, who is from Brooklyn, has pleaded not guilty at his arraignment before the Manhattan Supreme Court, and is currently being held without bail.