‘Answers Man’ allegedly played key role in $1.2B Ponzi scheme

Financial journalist Jordan Goodman — who bills himself as “America’s Money Answers Man” on his weekly syndicated radio show and Web site — allegedly played a key role in a Ponzi scheme.

The Securities and Exchange Commission charged 18 people with raising $1.2 billion from unsuspecting investors over five years. Goodman settled without admitting or denying the charges, the SEC said Wednesday.

The firm that was the alleged linchpin, Woodbridge Securities, declared bankruptcy in December 2017, causing the scheme to collapse.

At that time, investors stopped receiving monthly interest payments and have not received a return on their principal, the SEC charged. Goodman was paid almost $2.3 million for raising about $147 million through the direct offer and sale of Woodbridge securities to 1,200 retail investors, according to the SEC.

Woodbridge’s claims of 6 to 8 percent guaranteed annual returns was a lie, according to the SEC.

“Because Woodbridge was a Ponzi scheme, its ability to pay returns depended upon its continued ability to raise funds from new investors and convince existing investors to roll over their investments,” the SEC said

In settling, Goodman agreed to pay $2.3 million plus prejudgment interest of $315,850 and a $100,000 penalty.

Goodman could not be reached for comment. An e-mail to his Web site drew this boilerplate response:

“Thank you for contacting us. We appreciate your taking the time to go through our resources. If your question requires additional information, we will get back to you with a more detailed answer soon. To Your Financial Success, Jordan Goodman.”

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