Advertisement

Lubbock man facing SEC lawsuit, accused of conducting multi-million dollar Ponzi scheme

U.S. Securities and Exchange Commission
U.S. Securities and Exchange Commission(PRNewswire)
Published: Jun. 17, 2022 at 2:55 PM CDT|Updated: Jun. 17, 2022 at 4:01 PM CDT
Email This Link
Share on Pinterest
Share on LinkedIn

LUBBOCK, Texas (KCBD) - Lubbock business owner Blake Robert Templeton has been accused of using money from investors as part of a multi-million dollar Ponzi scheme.

The Securities and Exchange Commission (SEC) has filed a civil lawsuit against Templeton and his three businesses:

  • Boron Capital, LLC
  • BC Holdings 2017, LLC
  • United BNB Fund 2018, LLC

Templeton started Boron Capital in 2006 as a house-flipping business. He began bringing in investors in 2011, and raised more than $18.7 million for his companies.

He funneled about $14 million of his investor’s funds into Dallas Oasis, a 10-acre wedding venue in Red Oak. He allegedly used some of the remaining funds to “make Ponzi payments directly to other investors,” according to court documents. Bank statements show Templeton took incoming funds from new investors to pay debts owed to old investors.

In addition to Ponzi payments, the SEC claims Templeton lied to his investors to secure more funds.

He sold “securities,” including stocks, bonds, and mutual funds, among others. Templeton offered securities in three forms:

  • Promissory notes issued by Boron Capital
  • Investment Units in United BNB Fund 2018
  • Promissory notes issued by BC Holdings 2017

Court documents say none of Templeton’s companies or securities are registered with the SEC.

Templeton allegedly told his investors their securities were insured when they were not, with the Dallas Oasis property being held as collateral. However, Templeton had yet to take out any sort of lien, deed of trust or mortgage out on the property.

As of May 2022, Boron Capital owes an individual investor $4 million.

The court has frozen all assets associated with Templeton and his businesses, stating “good cause exists to believe that, unless restrained and enjoined by order of this Court, Defendants will dissipate, conceal, or transfer assets that could be the subject to an order directing disgorgement or the payment of civil money penalties in this action.”

The court has appointed On-Target Supplies and Logistics CEO Albert C. Black III, also known as Tré Black, as the receiver of the assets.

The lawsuit is ongoing.

Copyright 2022 KCBD. All rights reserved.