George N. Krinos, 36, and of Campbell, Ohio, allegedly raised approximately $1 million from at least 18 investors through the unregistered sale of common stock and secured convertible debenture notes, according to SEC documents being reviewed by attorneys Alan Rosca and Joe Peiffer.
From January 2012 through November 2013, Krinos, the former mayor of Campbell, Ohio, allegedly made materially false and misleading representations to investors about the use of investor funds and Krinos Holdings’ business operations and prospects according to the aforementioned SEC documents.
Krinos Holdings was purportedly formed in 2012 under the pretense of providing money to startup companies, but the SEC report found that Krinos Holdings allegedly never financed any startup companies, and that Krinos had never disclosed to investors that their money was being used to pay for personal expenses for Krinos.
George N. Krinos Reportedly Used Investor Funds for Strip Club and Casino Binges
Krinos allegedly used more than $50,600 of investor money on casinos and strip clubs in 2012, and reportedly splashed out more than $35,000 of the aforementioned money on casinos and strip clubs in 2013, according to SEC documents being reviewed by attorneys Alan Rosca and Joe Peiffer.
These SEC documents also reveal that the CFO of Krinos Holdings allegedly questioned Krinos’ spending in the summer of 2012, but was then subsequently fired by the end of the year.
Investment Fraud Lawyers Investigating
The Peiffer Rosca Wolf securities attorneys often represent investors who lose money as a result of investment fraud, or stockbroker misconduct. They take most cases of this type on a contingency fee basis and advance the case costs, and only get paid for their fees and costs out of money they recover for their clients.
Investors who believe they lost money as a result of investment fraud or misconduct may contact the securities lawyers at Peiffer Rosca Wolf, Alan Rosca or Joe Peiffer, for a free, no-obligation evaluation of their recovery options, at 888-998-0520.