On April 12, 2018, Gary J. Dragul was indicted on nine counts of Securities Fraud for soliciting funds from investors in GDA entities. The Indictment may be found here:
Click to see indictment
On March 1, 2019, Gary Jule Dragul was indicted on five counts of Securities Fraud for soliciting funds from investors in GDA entities. The second Indictment may be found here:
Click to see second indictment
You may read an article posted on the Colorado State’s website regarding the second indictment here:
https://www.colorado.gov/pacific/dora/gary-dragul-second-indictment-securities-fraud
DRAGUL CRIMINAL TRIAL: On June 5, 2023, moments before Gary Dragul’s 8-day criminal trial was scheduled to start in Arapahoe County District Court, Dragul pleaded guilty to two counts of securities fraud in a deal reached with prosecutors. Dragul’s plea agreements in Case 2018CR1092 and Case 2019CR610 call for him to spend a total of 120 days in Arapahoe County Jail, pay $1 million in restitution, serve eight months of house arrest, spend a decade on Economic Crime Probation, and complete 200 hours of community service. Also, as a material condition of the plea agreement, Dragul agrees to actively cooperate with Receiver Harvey Sender to facilitate an amicable resolution to any remaining litigation in the Dragul Receivership. Dragul will be formally sentenced on September 15th.
Please click on links below for the two Plea Agreements, and to read an article published on Business Den.
Plea Agreement – People v. Dragul 2018cr1092
Plea Agreement – People v. Dragul 2019cr610
06 06 2023 BusinessDen Article – Gary Dragul pleads guilty
INSIDER CASE: Case No. 2020CV30255 – As a material condition of the criminal plea agreements, Dragul agrees to actively cooperate with Receiver Harvey Sender to facilitate an amicable resolution to any remaining litigation in the Dragul Receivership. The case is currently scheduled for a 4-week jury trial to begin October 23, 2023.
MARLIN HERSHEY: A federal grand jury has returned a criminal indictment against Marlin Hershey. On April 22, 2022, the indictment was unsealed following Hershey’s appearance in court in North Carolina. Find the news release at: https://www.justice.gov/usao-wdnc/pr/two-men-are-facing-federal-charges-connection-multi-million-dollar-investment-scheme
HERSHEY CRIMINAL TRIAL: Marlin Hershey pleaded guilty to security-fraud and related charges on June 1, 2023 in U.S. District Court in North Carolina. He will be formally sentenced at a later date.
Please click on this link to read the June 1, 2023 United States Attorney’s Office press release regarding Marlin Hershey’s guilty plea.