The Utah Attorney General's Office has filed felony charges against four executives of Alternate Business Capital, a California-based company with an office in Sandy.
The office said that the ABC executives "bilked hundreds of investors out of millions of dollars." The company, which is affiliated with Mutual Benefits Union Corp., Pro-Fin and Sell More, allegedly promised investors a guarantee on their principal and returns, and that annual returns could be between 6 percent and 300 percent. The state also alleged the executives made several misrepresentations to customers about the company's history and operations.
Two Utahns, Bonnie Kunz and Michael Spencer, were among the four charged with multiple counts of securities fraud and racketeering. The other two individuals, Nia Cano and Francisco Candedo, are from California.
The Utah Division of Securities issued an emergency cease and desist order on July 11, 2002, against ABC, MBU, Kunz and Spencer. For more information, or to provide information on this case, contact the Securities Division at 1-801-530-6600.