Kenneth Jackson, 3 Others Jailed in $10M MSS Investor Scam

Four Ohio men are behind bars after systematically defrauding hundreds of investors out of more than $10 million through a sham medical device company, federal prosecutors confirmed. Kenneth Jackson, 59, of Glenmont, William Schureck, 81, of Lexington, Dennis Deciancio, 73, of Macedonia, and Daryl Dane Donohue, 67, of Mansfield, were sentenced following a trial conviction on charges including conspiracy to commit mail and wire fraud, money laundering, and making false statements.

Jackson, the ringleader, received over 15 years in federal prison. Schureck was sentenced to nine years. Deciancio got nearly six years. Donohue was handed more than four years. The sentences mark the end of a years-long fraud scheme tied to Medical Safety Solutions (MSS), a company Jackson founded in 2007 and operated from his Glenmont home, which promised to revolutionize needle disposal with a device called the Sharps Terminator.

The defendants sold unregistered securities by pitching private stock in MSS to unsuspecting investors, claiming the Sharps Terminator was on the verge of FDA approval and ready for mass production. In reality, no such approval was secured. Trial evidence showed MSS didn’t file a premarket approval application with the FDA until October 2012—years after soliciting investment—and had not even submitted a formal patent until 2011, despite earlier claims to the contrary.

Jackson, who held the title of Director of Research and Development, and Schureck, the CEO, falsely claimed the device had been submitted for review, was “market ready,” and even that the FDA had already approved it. Donohue, who posed as an “FDA consultant,” amplified the deception by communicating directly with shareholders, reinforcing lies about regulatory progress. Deciancio, a co-founder, promoted the device at trade shows, lending false credibility to the operation.

“These defendants misled investors and lied about their product,” said U.S. Attorney Carole Rendon. “They earned these prison sentences by stealing millions of dollars from hundreds of people.” FBI Special Agent in Charge Stephen D. Anthony added, “The FBI will continue efforts to bring to justice those that have duped investors out of their hard-earned money.”

IRS Criminal Investigation, which traced the flow of laundered funds, emphasized the long-term devastation caused by such fraud. “When you knowingly mix deceit and trickery into the financial well-being of individuals, you create a recipe for devastation that could last a lifetime,” said Special Agent in Charge Kathy A. Enstrom. The coordinated federal crackdown underscores ongoing efforts to dismantle complex investor fraud schemes operating under the guise of innovation.

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