9. Robert Mark Seibert, a.k.a. "John Grey," age 62, current residence and employment are unknown. He was the owner and manager of UST. Seibert has never been registered with the SEC, although he took and passed the Series 1 exam in 1976.10. Seibert has an extensive criminal and regulatory disciplinary record, including a 1993 complaint filed by the SEC which resulted in the entry of an injunction and monetary relief, SEC v. Mitchell Communications Corp. et al. (N.D.Ga. Dec. 21, 1993), Lit. Rel. No. 13950; two separate convictions for wire fraud and conspiracy to commit securities fraud in 2000; a 2005 conviction for grand theft and fraud in the offer of securities in Orange County, California; and 2008 and 2013 Desist and Refrain Orders entered against him by the California Department of Business Oversight related to fraud in connection with his sale of securities in California.
17. According to UST investors, UST's solicitation efforts followed a typical pattern. First, someone claiming to be "Ron Woods" or "Sebastian Wilson" (the "Sales Agents") called the potential investor, following up with multiple calls. The Sales Agents said they worked for UST and were calling on behalf of UST.18. In these calls, the Sales Agents would try and befriend the investors. They called multiple times and on weekends, they chatted about personal matters, and they offered advice relating to their lives.19. Then, according to UST investors, after these series of calls, a different man claiming to be "John Grey" would typically call the investor to close the deal. "Ron Woods" and "John Grey" described Grey as the "boss" or the "owner," and the investors understood that "Ron Woods" and "Sebastian Wilson" worked for "John Grey."20. The man claiming to be "John Grey" typically spoke to investors after "Ron Woods" and "Sebastian Wilson" talked to the investors. But in some instances, "John Grey" initiated contact with the investors.21. The man claiming to be "John Grey" ratified the prior representations made by "Ron Woods" and "Sebastian Wilson."22. According to UST investors, they spoke to one or a combination of people with the names "Ron Woods," "Sebastian Wilson" or "John Grey." The investors believed these men to be separate people based on what they were told.23. Upon information and belief, "John Grey" is an alias for Seibert. . .
37. UST bank records show that, of the $513,810 deposited by investors, $473,595.75 was withdrawn either via cash withdrawals or checks payable to cash, many of which appear to have been endorsed by Seibert.
38. The remainder of the funds was used for the following personal expenses:
- restaurant, gas, and hotel expenses (the restaurant expenses included meals at high end restaurants like Mastro's Steakhouse);
- retail purchases at stores like Macy's, Nordstrom's, Costco, and PetSmart; and
- bills for DirecTV, Time Warner Cable, T-Mobile, car insurance, and utilities.
39. Upon information and belief, because Seibert was the sole signatory on all of the UST bank accounts, these were personal expenses of Seibert being funded with investor money.
40. Investor funds from the UST bank accounts were also used to pay the court-ordered garnishments resulting from Seibert's outstanding child support obligations.
43. There is no record that UST owned any of the shares of stock that "John Grey" (i.e., Seibert) and the Sales Agents claimed to be selling, nor are any UST investors identified as shareholders.44. Investors never received any stock certificates or proof of ownership about their alleged investments from UST.45. When investors pressed "John Grey" (i.e., Seibert) and the Sales Agents for stock certificates, they assured the investors that they would receive the certificates soon, but they never did. Eventually, "John Grey" (i.e., Seibert) and the Sales Agents ceased responding to investors' calls and letters.