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Atsushi Mori v. Mamoru Saito

United States District Court for the Southern District of New York

February 16, 2012, Decided; February 16, 2012, Filed

10-cv-6465 (BSJ) (GWG)

Opinion

Order

BARBARA S. JONES

UNITED STATES DISTRICT JUDGE

This case alleges a fraudulent investment scheme that attracted millions of dollars in investments from a group of unsophisticated investors. Plaintiffs allege violations of the Racketeer Influenced and Corrupt Organizations Act, 18 U.S.C. § 1962 (the "RICO claims"), the Securities Act of 1933, 15 U.S.C. §§ 77e(a)(1) & (2), 771(a) (1) (the "Securities Act claims"), the Securities Exchange Act of 1934, 15 U.S.C. §§ 78a, 78t-1 (the "Exchange Act claims"), and assert common law claims for fraud, aiding and abetting civil conspiracy fraud, negligent misrepresentation, breach of fiduciary duty, and unjust enrichment. Before the Court are the motions to dismiss of some Defendants. For the reasons that follow, Defendants' motions are granted in part and denied in part.

BACKGROUND

A. The General [*3]  Scheme

In their First Amended Complaint, Plaintiffs allege a "massive, Ponzi-like fraud" against Mamoru Saito and Takahito Sakagami, their "agents," Tetsuya Hashikura, Hiromi Hashikura, and Rumiko Termyna, and the various corporate entities that these defendants used to perpetrate the alleged fraud—Amiworld, Inc. ("Amiworld"); EBOA, Ltd. ("EBOA"); JASB of New York Corporation ("JASB"); ODIN Energy NY Corporation ("ODIN Energy NY"); ODIN Petroleum Corporation ("ODIN Petroleum"); Great Voyages, Co., Ltd. ("Great Voyages NY"); ODIN Energy Corporation ("ODIN Energy"); ODIN Petroil S.A.; ODIN Energy Santa Marta Corporation S.A.; C.I. ODIN Petroleum Colombia, S.A.S.; Great Voyages, Co. Corporation ("Great Voyages"); Bank of the Atlantic, Ltd. ("BOA"), EUBK Holdings, Inc.; European Bo Atlantic Trust Ek For; EUBK Trust Ek For; European Commercial Bank; EUBK Stock House; and Tsukuyomi Corporation ("Tsukuyomi"). Plaintiffs also name John Does 1-20 as defendants.

Plaintiffs allege that, beginning in 2006, Saito and Sakagami created a fraudulent investment scheme whereby they convinced financially unsophisticated members of various Japanese communities in the U.S. to invest in phony funds and/or [*4]  entities: one "cluster[]" of these investments was related to oil projects and another to financial services. (Am. Compl., ¶¶ 1, 13-14.)

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2012 U.S. Dist. LEXIS 199935 *

ATSUSHI MORI, et al., Plaintiffs, v. MAMORU SAITO, et al., Defendants.

Prior History: Atsushi Mori v. Mamoru Saito, 785 F. Supp. 2d 427, 2011 U.S. Dist. LEXIS 49218 (S.D.N.Y., May 9, 2011)

CORE TERMS

offering, Oil, investors, amended complaint, invest, motion to dismiss, projects, Stock, misrepresentation, allegations, memorandum, complaint alleges, alleged facts, fraudulent, securities fraud, Petroleum, funds, pled, alleged violation, common law claim, Securities Act, Exchange Act, Martin Act, promoted, returns, aiding and abetting, common law fraud, entities, replead, counts