A former precious metals dealer will pay $51 in restitution to Mississippi victims of a major fraud scheme.
Mississippi Attorney General Lynn Fitch and Secretary of State Michael Watson announced that California-based Safeguard Metals LLC. and its owner, Jeffrey Santulan — also known as Jeffrey Ikahn or Jeffrey Hill — will pay out the eight-figure sum for defrauding investors across the country, including Mississippi residents.
The announcement by the two Mississippi elected officials was made in partnership with the U.S. Commodity Futures Trading Commission and 29 other states and follows a court finding that Safeguard Metals operated a nationwide scheme that exploited hundreds of elderly investors. Six victims in the Magnolia State lost nearly $892,000 through the operation.
According to officials, the company used aggressive and deceptive sales tactics to convince more than 450 people to liquidate their retirement accounts to buy overpriced precious metals and coins, violating both federal and state commodities and securities laws.
A judge determined that Safeguard Metals violated state laws by providing unlicensed investment advice, using fraudulent schemes, misrepresenting or omitting material information, and financially exploiting the elderly.
“This con artist was preying on seniors, betraying their trust and taking their hard-earned retirement money from them,” Fitch said. “This kind of exploitation will not be tolerated in Mississippi. We will use all the tools at our disposal and take action. My office is proud to work with Secretary Watson and his team to protect Mississippi seniors and other investors.”
As part of the judgment, Watson issued an order barring Santulan from serving in any role of employment, management, or control with an investment adviser, broker-dealer, or commodity adviser in Mississippi.
“Through the diligent work of our Securities team, this final judgment places honest earnings back in the pockets of those Mississippians affected,” Secretary Watson said. “I am grateful to the Mississippi Attorney General’s Office for joining us in our efforts to fight investment fraud in our state.”
Officials are encouraging Mississippians who believe they may have been targeted by similar investment scams to contact either the Attorney General’s Office Consumer Protection Division or the Secretary of State’s Securities Division.