An actual (alleged) Ponzi scheme web site

The SEC alleges that Thomas L. Mitchell and his firm Mitchell, Porter & Williams, Inc. (MPW), solicited clients to invest their retirement money in promissory notes offered by two other entities he operates (Adivanala AA Investment Trust and AB3, Inc.). The SEC alleges that Mitchell met with the prospective clients and encouraged them to take their retirement pensions as a lump-sum payment rather than a monthly annuity, and give him the money to manage for them. Rather than investing the money into stock, bonds or real estate as promised, Mitchell instead orchestrated a Ponzi scheme in which money from new investors was used to pay interest to existing investors.

Below are snapshots of pages from Thomas Mitchell's actual investment firm website. It looks very professional, they boast of 50 years of investment experience, and have lots of fancy language like "modus operandi" and "distinguished service", "shrewd discernment", and "global connections". As discussed on the main page all of this happy talk means NOTHING. The only fat checks you write should be paid to the order of your deep discount brokerage firm! Not these characters or any other characters! A financial planner should only give you PURE ADVICE (on buying all or mostly stocks), then you execute the trades yourself via your deep discount brokerage firm. Never hand your investment money over to any investment planning firm or individual.

Steer clear of investment advisors who aren't mainly recommending stocks. Avoid private equity and especially those dreaded annuities which this firm appears to pitch.

As previously discussed, all too often investors let their guard down for various reasons, such as when they do business with a company or person who is a friend, someone nice, professional, a philanthropist, well credentialed, well certified, well established, young or old, famous, high profile or well connected. These attributes mean nothing. Just because they might be a "registered investment advisor" means NOTHING!

ABOVE: This firm boasts that they are not tied by commissions or salaries to any company yet among other investments they push none other than annuities. If you read the ugly details about annuities then you know that investment advisors typically earn a FAT 6 to 12 percent commission when they manage to convince you to buy an annuity.

More nonsense and happy talk....

I'm guessing that at these MPW seminars they don't teach the basics of investing, otherwise they'd lose all of their clients!

The only fat checks you write should be paid to the order of your deep discount brokerage firm!