$5.1M Scam Sends Former Bowie Resident To Prison: DOJ

Bowie MD

19 May, 2021

12:37 PM

Description

BOWIE, MD — A former Bowie resident will spend 13 years in federal prison on charges of defrauding clients out of $5.1 million, officials announced on May 4. The U.S. Department of Justice accused Darayl Davis of spending the money on: Rent for an eight-bedroom mansion in Los AngelesAirline ticketsLuxury hotel roomsCar rentalsA club membershipTheater ticketsOther items An incident report explained that the scam lasted from at least 2003 to 2018. The DOJ mentioned that the scheme swindled 25 people, many of whom were retired and gave Davis all their savings. The write-up advised that Davis promised fixed annual interest and protection from any losses if they invested with his firms: Washington, D.C.-based Financial Assurance Corp. and Los Angeles-based Affluent Advisory Group LLC. Davis also claimed that a multinational life insurance company backed some of the investments, the press release informed. Prosecutors alleged that those guarantees were all lies. The DOJ also indicated that Davis frequently tried to hide the fraud by using money from some investors "to make Ponzi-type payments" to other victims. The report noted that the 48-year-old suspect, now of Chicago, pleaded guilty this year to one count of mail fraud. Davis will head to prison for 160 months thanks to a May 3 sentence from U.S. District Judge Robert Gettleman, the release added. "Davis targeted his victims personally, seeking out fellow church members, individuals who had previously purchased legitimate investment products from him, or 'friends' to whom he offered the 'favor' of an inside investment opportunity," Assistant U.S. Attorneys Christopher Catizone and Philip Fluhr said in the government's sentencing memorandum. "Davis knew these people trusted him and deliberately exploited that trust." Subscribe to your local Patch newsletter. Download our mobile application from the App Store or Google Play. Have a story idea? Please contact me at [email protected] with any pitches, tips or questions. Follow me on Twitter @JacobBaumgart and on Facebook @JacobBaumgartJournalist to stay up-to-date with the latest Anne Arundel County and Prince George's County news.