Another county man faces investment charges
January 7, 2009
By DANIEL BLACKBURN
A Los Osos man is in county jail tonight following his arrest on eight felony charges related to a Nevada-based investment company he owns.
Leonard Adolph Delk, 80, becomes the latest in a string of Central Coast money managers to run afoul of the law. He faces accusations of grand theft by embezzlement, offering securities without a license and with false statements. Sources said the amount of money involved will exceed $3 million.
Delk’s LAD Management Co., which he operated out of his Los Osos home, was used to commit a series of crimes beginning in 1999, according to a complaint filed by the San Luis Obispo County District Attorney’s office.
He promised investors from 18 to 23 percent return, and promised their money would be “completely safe.” Delk stopped paying interest payments to investors in July 2007. Prosecutors allege Delk failed to keep pledges that investor money would be held in individual, non-commingled accounts, and that the money would be used only for collateral for raising larger amounts of investment funds.
Delk was ordered to “desist and refrain” from doing business by the California Department of Corporations in January 2008.
(EDITOR’S NOTE: This latest arrest apparently ruffled the feathers of The Roadrunner, who wonders whatever became of honesty.)