The Securities and Exchange Commission is charging two California men with running a home flipping scam that defrauded dozens of investors out of their retirement savings.
According to the SEC, Daniel Vazquez serves as the CEO of Hoplon Financial Group. Through Hoplon, Vazquez created the “New Economic Opportunities Fund,” an entity that purported to buy and flip residential real estate using investor funds.
Per the SEC complaint, between 2011 and 2014, Hoplon and Vazquez sold membership units in the fund, raising $2.18 million from 27 investors, many of whom used their individual retirement account funds.
These investments were made on the basis of “misrepresentations” about how much compensation Vazquez and Hoplon would take for running the operation.
According to the SEC, Hoplon and Vazquez, with the aid of Hoplon’s then-chief operating officer, Gilbert Fluetsch, allegedly misused most of the investors’ funds funds to pay unrelated…