Daniel Christian Stanley Powell, Investment Scam, California 2023

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San Diego Man Sentenced to 10 Years for Investment Scam

SANTA ANA, California – A San Diego man who ran an investment scam that promised ‘reverse life insurance’ policies has been sentenced to 121 months in federal prison.

Daniel Christian Stanley Powell, 34, was sentenced on Friday by United States District Judge Josephine L. Staton. In addition to the prison term, Judge Staton ordered Powell to pay $4,447,290 in restitution to 59 victims.

The scam, run by Powell’s firm Christian Stanley, Inc., solicited more than $5 million from victims who thought they were investing in ‘reverse life insurance’ policies. However, the evidence presented at trial showed that Powell did not own any life insurance policies and had earned only $31,250 in revenue since the firm’s inception.

Powell told investors that he would use their money to purchase life insurance policies from insured individuals, at which point the company would pay the monthly premiums and become the beneficiaries to the policies. However, Powell used the victims’ money to make Ponzi-scheme payments to some investors, to pay commissions to representatives who recruited investors, and to create promotional materials.

As part of the scheme, Powell also told some victims that their money would be invested in gold mines, but Christian Stanley had no interest in any gold mines. Powell used victims’ funds to purchase a luxury apartment on the west side of Los Angeles, Ferrari and Porsche automobiles, and a $35,000 donation to Usher’s New Look foundation.

Powell was convicted of five counts of mail fraud, five counts of wire fraud, and three counts of obstruction of justice. The case against Powell is the result of an investigation by the Federal Bureau of Investigation, with assistance from the Los Angeles Regional Office of the U.S. Securities and Exchange Commission.

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