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Financial Fraud Law

Christian Rock Promoter To Prison – For Ponzi Scheme

 It must have sounded like a fine idea: invest money with Lauren Baumann to finance “battle of the bands” events featuring Christian rock bands and other music groups that would generate profits from ticket sales and company sponsorships. 

Unfortunately, however, Baumann, who owned and operated Stewardship Estates, LLC, used a substantial portion of investors’ funds to pay earlier investors, who thought they were receiving profits from Baumann’s venture.
 
Oh, Baumann also used investor funds to pay approximately $10,000 a month to rent a historic mansion and to pay private school tuition for her children, among other personal expenses.
 
As a result of Baumann’s scheme, more than two dozen victims in California’s Orange and Los Angeles counties suffered losses totaling nearly $560,000.
 
Baumann pleaded guilty to running the Ponzi scheme, also admitting that she failed to disclose to investors that she had been convicted of securities fraud in 1999 in a Texas federal court and that she had been found liable in a related civil fraud action brought by the SEC.
 
Now, she has sentenced to 57 months in prison. Baumann was ordered to report to begin serving her sentence by April 2. The court will also issue an order requiring that Baumann pay restitution to her victims in the scheme.
 
As for Christian rock bands, take a look here:  www.christianrock.net/news.asp.
 
  • i was part of the production team that set up the stage the sound and lights for these 3 battle of the bands. I got paid, but the company never recieved one dime from her. I believe lauren wanted to make more shows but my boss said not until we see some money.