The United States
Securities and Exchange Commission has filed a lawsuit against Milwaukee businessman
Joseph Nantomah, a self-proclaimed “millionaire investor from Africa.”
Nantomah claims he is a real estate investor, life coach and entrepreneur. He claims to have built real estate assets valued at over $23 million, a figure the SEC says is false.
Through his company, Milwaukee-based
Investors Capital LLC, Nantomah is accused of defrauding at least 30 investors of at least $1.9 million. Several of those investors reside in the Milwaukee area.
Nantomah, who calls himself “The Black Mentor” solicits investments from clients through presentations, seminars and social media.
He promises clients guaranteed returns within a specific timeframe if they invest with his company, according to the government lawsuit. Nantomah says he makes these returns by acquiring properties and later flipping them for profit.
Several lawsuits
had already been filed against Nantomah prior to the SEC filing its own complaint.
"Unbeknownst to investors, many of whom were members of the Nigerian-American community, Nantomah misused their money by spending at least 80% of it on himself and his other ventures, and not on the promised real estate transactions," according to the SEC lawsuit.
Nantomah spent the money on his own personal living expenses, jewelry, automobiles, travel and entertainment, according to the lawsuit.
The SEC has charged Nantomah with violations of the Securities Act and is seeking a trial by jury for the case.
