Man from Saratoga Springs sentenced to 2 years in prison for operating investment fraud scheme
A 28-year-old man from Saratoga Springs has been sentenced to two years in prison for orchestrating a securities fraud scheme. The United States Attorney’s Office for the District of Utah made the announcement in a press release, revealing that Jacob Welch Dalton deceived around 45 investors in the fraudulent scheme. Dalton’s tactics involved soliciting investments from people he knew personally or connected with through social media platforms.
Having pleaded guilty to the offense on September 30, 2024, Dalton faced sentencing from U.S. District Court Judge Jill N. Parrish. Investigation reports and statements presented during Dalton’s change of plea and sentencing hearings shed light on the fraudulent activities that transpired between October 2022 and December 2023. During this period, Dalton manipulated investors into purchasing securities in his company, Rogue Liquidity LLC.
As part of his deceitful scheme, Dalton distributed false documentation and inaccurate information about his company. This included fictitious investor track records in an attempt to entice investors to contribute further funds, utilizing both phone and electronic communications. Despite Dalton’s claims that Rogue Liquidity operated as an investment liquidity fund pooling investors’ funds for a guaranteed risk-free return on principal and up to 60% in investments, the truth was far from this representation. Investigations revealed that the company did not possess a liquidity pool, with the majority of investor funds being diverted for Dalton’s personal use.
Apart from serving a two-year prison sentence, Dalton will also be subjected to three years of supervised release and a restitution fee of $1,553,806. Acting U.S. Attorney Felice John Viti, along with Assistant U.S. Attorney Mark E. Wolf, managed the prosecution of the case. The collaborative efforts of the Utah Division of Securities and the FBI Salt Lake City Field Office’s Provo Resident Agency were instrumental in uncovering the extent of Dalton’s fraudulent activities.
