Kalin Dao is the mastermind behind a scheme that cost more than 500 investors at least $7 million dollars.
“She offered a number programs either penny stock type investments, or investments in commodities, precious metals, things like that,” says Robert Strande, a U.S. Postal Inspector.
Postal inspectors invested in Dao`s company to learn more about her business.
“She gladly took my money, sent me regular updates, investment statements categorizing how my investment was doing,” says Strande.
Those documents were all fake. Inspector Strande traveled to Las Vegas to attend an investors meeting with Dao and brought a hidden camera. He spoke with her about the transparency of her records.
Strande says there`s an important takeaway here for every potential investor.
“Don't accept answers like, ’This is a private company, you're not entitled to look at the financials, I don't have to show you the financial records.’ Don't accept answers like that,” says Strande.
Strande also said another potential red flag was the presentation Dao gave.
“She provided a Power Point presentation to the entire investment group and it looked as though a 2nd grader had done the art work,” says Strande.
Postal inspectors say the victims were devastated.
“It completely wiped them out financially. Most of them did not have disposable income,” says Strande.
Postal inspectors say Dao used the money to finance her lavish gambling trips to Vegas.