Offering Fraud Results in Permanent Injunction and Near-$2.5 Million Sanction

Defendants allegedly raised at least $2,833,796 from at least fourteen customers by falsely representing that their funds would be invested in securities, primarily in the form of purported certificates of deposit. However, instead of using the customers’ money to purchase securities, they allegedly were used to pay defendant Loffredi’s personal and business expenses, to make payments to a company owned by his wife, Advanced Sales and Marketing Corp., to make “disbursements” to other customers who had invested in the fictitious securities, and on at least one occasion to make payments on behalf of his wife.