The former vice president of the now defunct Secaucus-based National Realty Investment Advisors (NRIA) in Secaucus is accused of fraudulently selling $2.35 million in unregistered securities from a separate group he founded, using investors funds for his own benefit.
By John Heinis/Hudson County View
Specifically, the New Jersey Bureau of Securities has filed a civil enforcement action against Ivel Turner, a former VP at NRIA, an investment firm that defrauded clients nationwide.
The bureau issued a cease and desist after determining that NRIA engaged in $630 million worth of securities fraud between 2018 and 2022.
“The Oasis securities were fictional investments created out of whole cloth to generate money to enrich the defendant and support his lavish lifestyle,” Attorney General Matthew Platkin said in a statement.
“New Jersey has zero tolerance for this kind of egregious deceit and exploitation of investors. The action filed today seeks to hold the defendant accountable for his unlawful conduct and send a strong message of deterrence.”
According to a complaint filed in Essex County Superior Court today, Turner fraudulently sold at least $2.35 million of unregistered securities issued by Oasis Realty Investment Group, LLC a Delaware-based firm he founded while still working for NRIA, and then misused investors’ funds for his personal benefit.
Turner sold the fraudulent unregistered Oasis securities to at least two investors – including a New Jersey resident who invested $2.15 million.
He misrepresented to them that their money would be used to buy and develop large-scale real estate projects, perform house flips of single-family homes valued over a million dollars, and invest in other real estate-related ventures that would generate profits of up to 13 percent a year.
In reality, Oasis had no involvement with large-scale real estate projects, and Turner misused at least $500,000 of the investor funds on retail and jewelry purchases at luxury stores, personal investments, school tuition, and other personal benefits.
Turner also transferred a significant portion of investor funds to Integrated Data Solutions, LLC, another entity he owned and controlled.
While employed by NRIA, Turner allegedly aided in the fraudulent conduct that led to the cease and desist order, though Turner was not among those named in the Summary Order.
NRIA filed for Chapter 11 bankruptcy protection in June 2022 and is no longer in operation.
According to the allegations contained in the complaint, the Oasis Private Placement Memorandum (PPM( and websites were replete with fraudulent misrepresentations and omissions regarding Oasis’ ownership, management, size, history, operations, Turner’s background, and the manner in which investor funds would be used.
The vast majority of the Oasis PPM’s text was taken word-for-word from the NRIA securities PPM, including specific information such as the date of corporate formation, the amount of funds raised, a history of regulatory and compliance issues, and the profiles and biographical information of “management.” In most places, “Oasis” simply replaced “NRIA.”
“The conduct outlined in today’s filing serves as a sobering reminder to investors that not every investment offering is what it appears to be,” added Acting Bureau of Securities Chief Amy G. Kopleton.
“Thoroughly vetting the offerings and confirming the veracity of the individuals marketing and selling them is paramount to avoiding the very expensive consequences of falling for a fraudulent investment.”
The complaint also alleges that Turner and Oasis violated multiple provisions of the New Jersey Uniform Securities Law, including operating without the required registration, employing a scheme to defraud, making untrue statements of material fact, and omitting material facts in connection with the sale of Oasis securities.
The bureau is seeking court-ordered monetary penalties, investor restitution, disgorgement, and permanent injunctive relief barring the defendants from violating the Securities Law or participating in the sale or issuance of securities in the future.
Yesterday, HCV published an exclusive report detailing how NRIA investors are still seeking refunds 18 months after the company was forced to closed.
