telling people huge stories of how this
water heater was going to conquer the
world Warren believe the idea of an
instant hot water supply could
revolutionize the home appliance
business I've gone on the internet
research the company to see what the
stock was selling at see where they're
at everything seemed to be good he
decided to invest in the product still
in the planning stages Warren new people
who worked for the company they told him
they needed his money to finish the
product prototype I gave them almost
everything I had what the intent that
was going to be back in 90 days more
than three months passed and Warren
didn't get his money back and no
progress was made on launching the water
heater he even told a friend he was
becoming concerned something's wrong
here Warren these guys are driving big
fancy cars they're building big houses
they're not using their money
something's wrong his friend was right
instead of production the money was
being used on expensive cars dinners and
property when as a defendant actually
had a custom home built and his payment
with over ten thousand dollars a month
just for that home authorities say to
executives from the company diverted
investor money for their own personal
use to the detriment of investors but
they would be able to get shares
themselves and then through a shell game
of sorts with these shares were able to
artificially inflate the price award
themselves even more shares and then at
the end of the day when the music
stopped the investors were left without
anything while the fraudsters were able
to enrich themselves from zero to 6.8
million dollars in about three years
there were more than 150 victims some
advice for investors diversify your
assets war and learn this the hard way
probably my biggest mistake was putting
all of my ducks in one basket