FOR IMMEDIATE RELEASE
Jan 22 2015
Contact: Stephanie Fleming, (573) 526-0949
Kander Halts Miller County Scam Artists
Jefferson City, Mo. — Secretary of State Jason Kander today issued a cease and desist order against Terina Carney and Christopher Schafer of Brumley, Mo., and their affiliated company Riverside Lease, LLC of Kaiser, Mo. Carney also used the alias of Terina Humphrey and/or Terina Schafer.
Kander’s order alleges that from around September 2012 until March 2014, Carney and Schafer sold investments to at least 16 individuals by soliciting them with an opportunity to fund leases of construction equipment. Carney and Schafer allegedly solicited investors with the promise of high returns, convincing investors to turn over in excess of $425,000.
According to the order, Carney and/or Schafer told investors their money would be used to allow third-party businesses to secure fully funded leases of construction equipment, and that the invested funds would be repaid with interest directly out of these loans. In many instances, Carney and/or Schafer promised investors 20 or 30 percent returns within two months, while telling other investors they would receive a 10 percent return in nine months.
"When an investment sounds too good to be true, it probably is," Kander said. "Before turning over your hard-earned savings, call my office and make sure the person selling the product is properly registered."
An investigation by Kander’s office revealed investor funds were deposited into Riverside Lease, Schafer Financial and Carney or Schafer’s personal bank accounts. When investors failed to receive their promised returns and contacted Carney, they were told, among other things, the processing of their request was delayed, that the leases had not been fulfilled due to improper serial numbers and that Carney was pursuing a lawsuit on behalf of investors for failing to receive repayment from the company.
Kander’s order alleges Carney and/or Schafer comingled some investor funds with personal funds and used the funds of new investors to repay old investors. At least $25,000 of investor funds were allegedly paid to associates of Carney while thousands of dollars were transferred to the personal accounts of Carney and Schafer and used for personal expenses. Investor funds were allegedly used for payments to United Airlines, Priceline, AdultFriendFinder.com (an adult online dating service), Gascosage (an electric cooperative) and other retail or service-oriented establishments, while thousands of dollars were used for electronic and ATM cash withdrawals.
The order seeks restitution, fines and the cost of the investigation.
Before making an investment decision, Missourians are encouraged to call Kander’s office at 1-800-721-7996 or visit www.MissouriSafeSavings.com.
Visit www.sos.mo.gov to learn more about the Office of the Missouri Secretary of State.