July 2, 2025 The Best Source of News, Culture, Lifestyle for Culver City, Mar Vista, Del Rey, Palms and West Los Angeles

Judge Orders Five and a Half Year Sentence for Former Attorney Who Lied to Investors About Real Estate Scam

Prosecutors say defendant DEREK Jones sold interests in real estate that he did not own

DEREK Jones, a disbarred California attorney, was sentenced to five and a half years in prison by United States District Judge Loretta A. Preska. Jones had pled guilty to one count of wire fraud for running fraudulent investment funds, including real-estate and venture-capital firms, which defrauded investors of over $8.6 million from at least 2012 through 2019. 

“When investors purchase shares in real-estate funds and other investment funds, those investors have every right to expect that the people promoting and selling those investments are treating them honestly and telling them the truth about their investments.  Today, Derek Jones, a disbarred attorney, was held accountable for violating this right over an extended period, selling interests in real estate that he falsely claimed to own and defrauding his investors out of millions of dollars,” said U.S. Attorney Damian Williams. 

Jones defrauded victims by investing their money in companies and funds he had control of, such as “BlueRidge”, “Living City” and “Atiswin”, and “Realize Holdings” (a venture capital firm), between 2012-2019. Information regarding the matter is found in the Indictment, court statements and other publicly filed documents.

Jones deceived investors by lying about real-estate developments, including a “resort village” and an existing hotel he claimed to control on Semiahmoo Spit in Washington State, as well as a ranch in Colorado and other properties in California, including in Santa Monica, Hermosa Beach, and Los Angeles. In reality, Jones did not own or control any of those properties. Instead of using investors’ money as promised, Jones misappropriated it for personal use, including private-school tuition for his children.

As part of this scheme, Jones sent counterfeit documents, including doctored bank statements, fake financial statements and contractual agreements, forged land leases, and fictional asset allocations to investors. He also used other individuals’ names in email communication to persuade investors his businesses were viable.

In total, Jones defrauded investors over $8.6 million. He was suspended and ultimately disbarred for intentionally misappropriating a client’s money and misrepresenting it to the court, clients, and others.

Related Posts

(Video) Los Angeles County Supervisor from the 2nd district, Holly J. Mitchel, Gives a Powerful Speech

June 30, 2025

June 30, 2025

Supervisor Mitchell Called on Residents to take action at the rally for Ambrocio “Enrique” Lozano in Culver City.

Top Military Commander Urges Return of Troops Deployed to ICE Protest Response

June 30, 2025

June 30, 2025

General Requests 200 National Guard Soldiers Be Returned to California Wildfire Unit The senior U.S. military officer overseeing federal forces...

Second Victim Killed Alongside LAPD Sergeant in Brentwood 405 Crash Identified

June 30, 2025

June 30, 2025

Authorities Confirm Garcia, 34, Died at the Scene, GoFundMe Launched  Authorities have identified the civilian who was killed alongside a...

The Westside Lights Up for July 4: Fireworks, Drone Shows, and Parades Return Across West Los Angeles

June 30, 2025

June 30, 2025

From Marina Del Rey’s Fireworks to Culver City’s 1980s-Themed Drone Show, Get Ready to Celebrate From fireworks over Marina del...

California Judge Rules FAIR Plan’s Smoke Damage Policy Unlawful

June 29, 2025

June 29, 2025

Court Says Wildfire Insurance Program Illegally Denied Claims Legal protections for California homeowners took a step forward this week after...

(Video) Culver City Residents and City and County Leaders Rally for Disappeared Ice Cream Man Ambrocio “Enrique” Lozano

June 29, 2025

June 29, 2025

US Representative for California’s 37th Congressional District, Sydney Kamlager-Dove Speaks About What is happening to the disappeared.

Historic Sawtelle Nursery Site Could Become 40-Unit Townhome Complex

June 29, 2025

June 29, 2025

Sawtelle Continues to Change as Nursery Site Faces Redevelopment Plans have been submitted to redevelop a nursery site, F.K. Nursery,...

Drake Slashes Price on Beverly Hills Estate to $79 Million Amid Market Slowdown

June 29, 2025

June 29, 2025

Price Cut Adds to a Broader Retreat From His Los Angeles Real Estate Holdings. Musician Drake has reduced the price...

Iranian Pastor in West L.A. Speaks as Church Rocked by Immigration Raids 

June 28, 2025

June 28, 2025

Five Detained as Fear Spreads Through Persian Christian Faith Community  Fear has spread through a West Los Angeles congregation after...

Overdose Deaths Drop 22% in Los Angeles County, Marking Largest Decline on Record

June 28, 2025

June 28, 2025

Fentanyl Fatalities Fell 37% as County Ramps up Funding for Prevention, Treatment Drug overdose deaths in Los Angeles County declined...

Cinespia Brings Fireworks and Fan Favorites to Hollywood Forever This July

June 27, 2025

June 27, 2025

Watch Top Gun, La La Land, and More Under the Stars at Hollywood Forever Cinespia, Los Angeles’ iconic outdoor movie...

California Doubles Down on Hollywood: $750M in Tax Credits Approved for Film and TV Industry

June 27, 2025

June 27, 2025

State Lawmakers Back Major Expansion of Production Incentives, Raising Job Projections Los Angeles’ film and television industry is poised to...

Pedestrian Killed on 405 Freeway to State Route 90 Connector in Culver City 

June 27, 2025

June 27, 2025

Fatal Crash on Culver City Adds to Growing Safety Concerns Early Friday, a pedestrian died after being struck by a...

EEEEEATSCON Los Angeles Returns with Star Chefs, Firefighter Tribute, and Wildfire Relief Efforts

June 27, 2025

June 27, 2025

Culinary Festival Features Exclusive Restaurant Collabs, Support for Small Businesses  EEEEEATSCON Los Angeles, the celebrated food festival curated by The...

Supporters to Gather This Weekend for Longtime Culver City Paleta Seller Held in Detention

June 27, 2025

June 27, 2025

Family and Neighbors Will Gather Sunday to Sell Paletas and Raise Funds Supporters will gather this Sunday at Veterans Park...