Craig Allen, a 53-year-old investment executive, has been brought to court for allegedly tricking investors to fund his lavish lifestyle. The U.S. Attorney's Office in the Northern District of Georgia accuses Allen, the head of C.M. Allen Capital Management, of running a fraudulent scheme to take his clients' money.
The Atlanta-based executive is accused of artificially inflating the performance of the Cheetah Fund to an astonishing annual yield of seventy-three percent—a figure that seemed too good to be true and attracted dozens of investors nationwide. The indictment alleges that once investors joined, they received fake account statements and tax documents portraying substantial gains. "Allen abused his clients’ trust by allegedly stealing millions of dollars to support his lavish lifestyle," stated U.S. Attorney Ryan K. Buchanan, in a statement released by the U.S. Attorney's Office.
FBI Special Agent in Charge of Atlanta, Keri Farley, emphasized the devastating impact of financial fraudsters who line their pockets at the expense of innocent investors. In the words of Buchanan, investors received a false sense of financial security as a result of Allen's fabrications and deceit, which included falsified documents. The sad truth is that no auditor was looking over Cheetah's shoulder, despite investors being led to believe otherwise.
In truth, the fund lurched from loss to loss, while Allen reportedly financed a life of luxury. More than $7 million of Cheetah's investors' money evaporated into Allen's various expenses. According to the same announcement, "The FBI is hopeful that Allen’s indictment will send a strong message to anyone who would try to take advantage of unsuspecting investors for their own personal greed."
The case now proceeds to trial, where the weight of proving Allen's guilt beyond a reasonable doubt rests on the prosecution. Meanwhile, the SEC has paralleled these efforts with a civil case against the fallen financial titan. Investors devastated by Allen's alleged deceit are left to hope for justice and a reckoning of the shambles left behind.
For more details on the case, the public can turn to the Northern District of Georgia U.S. Attorney’s Office. Allen's charges are currently only allegations, and like in all U.S. criminal cases, he remains presumed innocent until proven otherwise. Assistant U.S. Attorneys Natasha Cooper and Christopher J. Huber are leading the charge for the prosecution amid ongoing FBI investigations.
