Thursday, February 5, 2009
Florida Rock Concert Promoter Under Investigation For Ponzi Scheme
Jack Utsick, 65, of Miami Beach, Florida, and a noteworthy rock concert promoter, is under investigation for operating a Ponzi-type investment fraud scheme, according to reports. Utsick, who has promoted concerts for such groups as the Rolling Stones, Santana, Shania Twain, the Pretenders, Aerosmith and Elton John, is alleged to have diverted millions from his concert investors to pay for collector cars, a luxury condo, artwork and other personal expenses. The scheme, which promised returns of 15 to 25 percent returns, cost investors as much as $300 million, according to a complaint filed by the SEC in 2006. The SEC took action at that time, seizing Utsick's Miami Beach-based company, Worldwide Entertainment, Inc. and its assets. Utsick is also a defendant in pending civil suits. Utsick is reportedly residing in Brazil and has refused to obey court orders to return to the US. Co-defendants in the SEC action include Utsick's partners, Robert Yeager and Donna Yeager.