Bitconnect habit supported by seniors?

Quick Take

  • Garrison and Garrison v. Ringgold et al.
  • Three counts: violation of federal securities laws, violation of California’s securities laws, and financial abuse of a senior citizen
  • Ringgold allegedly fraudulently induced the Garrisons to invest over $800k of their money with him in a variety of crypto ventures
  • Defendant proceeded to invest in Bitconnect, allegedly

Disclaimer: These summaries are provided for educational purposes only by Nelson Rosario and Stephen Palley. They are not legal advice. These are our opinions only, aren’t authorized by any past, present or future client or employer. Also we might change our minds. We contain multitudes.

As always, Rosario summaries are “NMR” and Palley summaries are “SDP".

[related id=1]Garrison and Garrison v. Ringgold et al., ‘19CV0244 CAB RBB (S.D. Cal., February 4, 2019) [NRM]

Let me be the first to say that I’m a Grandparent Maximalist. Grandparents are superheros. You don’t mess with grandparents. It’s a bad idea, and a bad look. The same should be said about the elderly in general. It’s unclear whether this newly filed lawsuit deals with someone’s grandparents, but it does deal with allegedly messing with the elderly, which is a bad look.

This case is an action brought under three counts: violation of federal securities laws, violation of California’s securities laws, and financial abuse of a senior citizen. Ultimately though, this case is about misrepresentations, which is a common theme we cover on this blog.

Tommy and Christine Garrison are residents and citizens of the State of California. In this lawsuit they allege that the defendant, Reginald Buddy Ringgold III aka Rasool Abdul Rahem El, fraudulently induced them to invest their money with him in a variety of crypto ventures. What is somewhat striking about the allegations is the sheer amount of contact that Ringgold supposedly had with the Garrisons. Over the course of the interactions the Garrisons allegedly invested $819,784 with Ringgold. That number is pretty shocking, but what is really shocking is what Ringgold allegedly did with the money, and the lengths he went to to get it.

It’s hard to figure out where to even begin with this case. Perhaps, the best place to start is with how Ringgold held himself out to the public. As we’ve discussed in the past, you can’t just lie about your credentials/business and then take people's money. Supposedly, that is what happened here. Ringgold claims to have 17 years of experience in the financial industry, and according to his LinkedIn profile is the principal of five different entities, one of which is allegedly incorporated in Wyoming. He al