(Phoenix, Ariz. – Sept. 19, 2007) Attorney General Terry Goddard today announced the indictment of David John Leyshon, 48, of Phoenix, on charges of fraud, securities fraud, transactions by unregistered dealers or salesmen and theft.
According to the indictment, from Dec. 2004 through March 2006, Leyshon acted as an “investment advisor” and persuaded several people to “invest” a total of about $350,000 through a purported investment firm called Leyshon Capital Management (LCM).
The indictment alleges that, although Leyshon promised to use the monies to buy and sell securities on behalf of the investors and charge only a one percent management fee for his services, he converted over $100,000 of the investors’ funds for his personal use and other unauthorized uses.
The indictment also alleges that Leyshon failed to disclose to investors that:
- He had been fired by his former employer, Synergy Investment Group, LLC, for misconduct related to his handling of investor funds.
- He was not licensed as an investment advisor.
- He was not a registered securities salesman.
- LCM was not a licensed investment firm.
- LCM was never registered as a securities dealer.
- He would use funds from some investors to make payments to others.
Leyshon has been taken into custody and will be arraigned on Sept. 24 at 8:30 a.m. If
convicted of all charges, he faces up to 30 years in prison. The indictment followed an
investigation by the Securities Division of the Arizona Corporation Commission.