West Valley City Woman Says She Lost $250K In Ponzi Scheme; 3 Face Federal Indictment
May 9, 2019, 6:35 AM | Updated: Feb 7, 2023, 11:18 am
SALT LAKE CITY, Utah – A federal grand jury returned a six-count indictment against three people accused of defrauding investors in what prosecutors said was a $200 million Ponzi scheme.
Gaylen Dean Rust, Denise Gunderson Rust, and Joshua Daniel Rust were charged with wire fraud conspiracy and money laundering conspiracy. Gaylen Rust was charged with securities fraud. Denise and Joshua Rust were charged with money laundering.
Darla Rae Ketcham said she invested $250,000 in the program, hoping to supplement her retirement income.
“Everywhere I could find money, I was investing it,” Ketcham said.
She said she received periodic statements informing her of silver transactions. She said she thought her investment was going well until her brother, who had also invested, texted her the day after Federal Bureau of Investigation agents raided Rust Rare Coin.
“What I’m about to tell you has and will create heartsick for both of us. I’m so sorry. We have no money,” the text read.
The Deseret News reported in April that an analysis showed Utah had more fraud per capita than any other state. Investment fraud attorney Randall Heiner said Utahns can be targets because much of the population is very trusting, particularly if they are approached in church.
“When the person is in their ward or stake, that’s what I see most ponzi scheme victims, they’re in that situation,” Heiner said. “They understand that this guy is in my religion and he would never take advantage of me,”
Ketcham said she has spoken with an attorney and hopes to recover some of her money.
