⏱ 2 min read
Kenneth Thom, a suspended broker, scammed 66 social media followers in New York, promising lucrative investment returns. Between late 2023 and March 2025, Thom, aka K$ or K Money, raised nearly $800,000 from his victims, claiming he would manage their investments and share the profits. Instead, he spent most of the money on luxury goods and international travel. On August 11, Thom was sentenced to two years in prison for his crimes.
Thom’s scheme began after the Financial Industry Regulatory Authority (FINRA) suspended his broker registration in 2011. He then reinvented himself online, using social media platforms like Facebook, Instagram, and Twitch to build a following and sell trading lessons. Thom’s online persona, K$, was that of a successful Wall Street trader, and he used this image to lure in unsuspecting investors.
Of the $800,000 Thom raised, he only invested about $350,000, losing approximately 73% of that amount between March 2024 and March 2025. Despite these massive losses, Thom continued to publish updates on his Facebook group, claiming the investments were generating significant profits. In reality, he was using the money to fund his own lavish lifestyle.
Thom’s sentence is a result of his guilty plea to investment adviser fraud. The case was investigated by the FBI and prosecuted by the United States Attorney for the Southern District of New York. The sentence serves as a warning to others who would seek to use social media to scam unsuspecting investors.
📋 Key Facts
- Crime: Fraud & Financial Crimes
- Defendant: New York
- Location: NY
- Source: DOJ Press Release
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