SEC Garners Final Judgment Against Oak Brook, Illinois Resident for “Affinity” Ponzi Scheme

Defendant Upshaw, Sr. raised approximately $6.5 million from over 130 investors through an “affinity fraud” he conducted on members of the African-American community through his company, Upshaw and Associates, L.L.C. They represented to investors that their funds would be invested in large-cap U.S. stocks, Treasury bills and commercial paper, guaranteeing returns of up to 10% per month. However, little, if any, investor proceeds were actually invested as promised, and were instead misappropriated for Ponzi payments and Upshaw, Sr.’s personal use. The case culminated with dissolution of the entity defendant and Upshaw, Sr. sent to prison for 7½ years.